Pennsylvania Tax Calculator
Pennsylvania Income Tax
Pennsylvania uses a flat income tax rate of 3.07%, one of the lowest flat rates in the nation (only Arizona at 2.50% and North Dakota are lower among states with income tax). PA does not allow standard deductions or personal exemptions against income, making the effective rate close to the statutory rate for most taxpayers.
Pennsylvania Sales Tax
Pennsylvania's state sales tax is 6.00%. Local sales taxes are limited: Philadelphia adds 2% (total 8%) and Allegheny County (Pittsburgh) adds 1% (total 7%). Most other areas have no local sales tax. PA exempts most clothing, groceries, and prescription drugs from sales tax.
Pennsylvania Property Tax
Pennsylvania's effective property tax rate is approximately 1.49%, above the national average. Rates vary significantly by county and school district. Some areas of suburban Philadelphia and Pittsburgh have rates exceeding 2%.
Pennsylvania's Unique Local Tax System
Pennsylvania is unique in allowing municipalities and school districts to impose their own earned income tax (EIT), typically 1%-2% combined. This local income tax is in addition to the state's 3.07% flat rate, effectively raising the total income tax rate to 4%-5% in many areas.
Philadelphia Wage Tax
Philadelphia imposes a wage tax of approximately 3.75% on all wages earned by Philadelphia residents, regardless of where they work. Non-residents who work in Philadelphia pay approximately 3.44%. This makes Philadelphia's total income tax burden (3.07% state + 3.75% city = 6.82%) comparable to many graduated-tax states, despite Pennsylvania's low flat rate.
Local Services Tax (LST)
Many PA municipalities charge an additional Local Services Tax of up to $52 per year on individuals who work in the municipality.
Pennsylvania vs. Neighboring States
- New Jersey — Much higher income tax (1.4%-10.75%) and nation's highest property tax (2.23%). PA is significantly cheaper overall.
- New York — Much higher income tax (4%-10.9%). PA is a popular destination for NY transplants.
- Ohio — Similar income tax range (0%-3.5%) but with municipal income taxes (similar to PA's local EIT). Similar overall burden.
- Delaware — Higher income tax (2.2%-6.6%) but no sales tax. Delaware's no-sales-tax policy attracts PA shoppers.