Pennsylvania Tax Calculator

Income Tax
3.07%
flat (one of lowest)
Sales Tax
6.34%
avg combined
Property Tax
1.49%
varies widely

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.

Frequently Asked Questions

What is Pennsylvania's income tax rate in 2026?
Pennsylvania has a flat income tax rate of 3.07%, one of the lowest flat rates nationally. This rate has remained unchanged since 2004. Pennsylvania does not allow personal exemptions or standard deductions, so 3.07% applies to virtually all taxable income.
Does Pennsylvania have local income taxes?
Yes. Philadelphia imposes a wage tax of 3.75% on residents. Other municipalities levy Earned Income Tax (EIT) typically 1%-2%, shared between municipality and school district. Combined state plus local in Philadelphia is about 6.82%.
What is Pennsylvania's sales tax rate?
Pennsylvania has a 6% state sales tax. Allegheny County (Pittsburgh) adds 1% and Philadelphia adds 2%. The average combined rate is approximately 6.34%. Pennsylvania exempts most food, clothing, and prescription drugs from sales tax.
Does Pennsylvania tax retirement income?
Pennsylvania is very retirement-friendly. The state does not tax any retirement income for those at retirement age. Social Security, pensions, 401(k)s, IRAs, and military retirement are all fully exempt, making it one of the best states for retirees.
What is Pennsylvania's property tax rate?
Pennsylvania's effective property tax rate is approximately 1.49%, above the national average. Rates vary significantly by county and school district. The Property Tax/Rent Rebate Program provides rebates up to $1,000 for qualifying seniors and disabled persons.