Massachusetts variant. This is a Massachusetts-specific version of the Income Tax Calculator, using pre-defined local figures (tax rates, median home and income values, and typical regional costs). For the full formula, methodology, and FAQ, open the main Income Tax Calculator.
Massachusetts income tax (Flat 5%, plus 4% surtax over $1M) stacks on top of federal tax. Understanding both layers is essential to estimating your total Massachusetts tax bill.
Massachusetts state income tax structure
Massachusetts taxes income at Flat 5%, plus 4% surtax over $1M, with a top marginal rate of 9%. Like the federal system, only income within each bracket is taxed at that bracket's rate.
Federal brackets (10%–37%) apply nationwide. Combine your federal effective rate with the Massachusetts rate to find your true marginal tax on the next dollar earned.
About taxes and housing in Massachusetts
Massachusetts applies a flat income tax with an additional surtax on income above one million dollars dedicated to education and transportation.
Massachusetts property taxes are near the national average, but high home values make the dollar amounts among the steepest in the country.
Massachusetts's economy is powered by higher education, biotechnology, healthcare, and finance, anchored by the Greater Boston area.
Worked example: state tax on $96,505
Using the 9% top rate as a ceiling, state income tax on $96,505 is at most about $8,685; the actual figure is lower after brackets and deductions.
Quick reference
- State income tax: Flat 5%, plus 4% surtax over $1M
- State sales tax: 6.25% (plus 0.00% avg local)
- Median home value: $605,000
- Median household income: $96,505
- Effective property tax rate: 1.04%
- Avg auto insurance: $1,389/yr
Frequently Asked Questions
Does Massachusetts have state income tax?
Yes - Flat 5%, plus 4% surtax over $1M, topping out at 9%.
What is the top tax rate in Massachusetts?
The top marginal state rate is 9%.