Estimate your Pennsylvania state income tax plus combined federal and PA state tax for 2026. 3.07% flat rate.
Pennsylvania has one of the lowest flat income tax rates at 3.07%. Philadelphia charges 3.75% local earned income tax for residents. Pennsylvania does not tax pension income, Social Security, or retirement distributions — making it very retiree-friendly. Use the calculator above to estimate your combined federal and Pennsylvania state income tax for 2026. State tax figures use a simplified rate — for precise Pennsylvania state tax calculations, consult the Pennsylvania Department of Revenue or a licensed tax professional.
Pennsylvania uses a 3.07% flat rate state income tax structure. Like most states, Pennsylvania starts its calculation from your federal Adjusted Gross Income (AGI), then applies state-specific adjustments — subtracting income Pennsylvania excludes from taxation (such as certain pension or Social Security income) and adding back any income Pennsylvania taxes that the federal government does not. After adjustments, the Pennsylvania standard deduction is applied, then the 3.07% flat rate is applied to arrive at state taxable income.
Pennsylvania income tax is collected through employer paycheck withholding for W-2 employees and through quarterly estimated payments for self-employed residents and those with significant non-wage income. The Pennsylvania state return is generally due April 15, aligned with federal returns. Part-year residents and nonresidents who earn income sourced in Pennsylvania must also file a Pennsylvania return for that income portion.
Your Pennsylvania state income taxes are deductible on your federal Schedule A as part of the SALT (State and Local Tax) deduction, capped at $40,400 in 2026 under OBBBA. At the 22% federal bracket, paying $1,818 in Pennsylvania state income tax generates approximately $399 in federal tax savings, reducing the true net cost of your Pennsylvania taxes to about $1,419 for itemizing taxpayers.
Jordan is a single filer earning $75,000 in Pennsylvania. This shows how federal and Pennsylvania state income tax are calculated together.
Moving to a no-income-tax state (Texas, Florida, Nevada, or Wyoming) would save Jordan approximately $1,818/year ($151/month) in state income taxes. However, no-income-tax states often fund services through higher property taxes, sales taxes, or other fees, so a complete comparison requires evaluating all taxes together, not just income tax.
Pennsylvania Tax Rate and Annual Filing
Pennsylvania residents earning above the state filing threshold must file a Pennsylvania income tax return annually, typically due April 15. The 3.07% flat rate applies after Pennsylvania-specific deductions and any state tax credits. Employers withhold Pennsylvania state income tax from employee paychecks throughout the year using Pennsylvania withholding tables, and any balance owed or refund due is settled when the annual state return is filed. Self-employed Pennsylvania residents make quarterly estimated payments to the state in addition to their federal quarterly estimated tax payments.
Federal SALT Deduction Reduces Net State Tax Cost
State income taxes paid in Pennsylvania reduce your federal taxable income through the SALT deduction (capped at $40,400 in 2026 under OBBBA). For a Pennsylvania resident in the 22% federal bracket paying $1,818 in state income tax, the SALT deduction recovers approximately $399 in federal taxes, so the true after-federal-benefit cost of Pennsylvania state income tax is about $1,419. This offset only benefits taxpayers who itemize deductions on federal Schedule A rather than taking the standard deduction.
Total Tax Burden: State Income Tax Is One Piece
State income tax is one component of your total tax burden in Pennsylvania. Property taxes, local income taxes (in some Pennsylvania cities and counties), and state and local sales taxes also contribute to your overall cost of living. When comparing Pennsylvania to other states, evaluate all tax types together rather than income tax in isolation. Use the calculator above to see your combined federal and Pennsylvania state effective rate at your specific income level.
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Pennsylvania has a 3.07% flat rate state income tax for 2026. Pennsylvania has one of the lowest flat income tax rates at 3.07%. Philadelphia charges 3.75% local earned income tax for residents. Pennsylvania does not tax pension income, Social Security, or retirement distributions — making it very retiree-friendly. The state income tax is calculated separately from federal income tax and is paid through payroll withholding or quarterly estimated payments.
Pennsylvania has its own state standard deduction separate from the federal standard deduction ($15,750 single, $31,500 MFJ in 2026). For precise Pennsylvania state deduction amounts, consult the Pennsylvania Department of Revenue or a state tax professional.
Pennsylvania's 3.07% flat rate state income tax can be compared to other states using our state tax calculator above. The U.S. average top marginal state income tax rate is approximately 5-6%. Nine states have no income tax at all (Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, Wyoming), while California has the highest at 13.3%.
Pennsylvania offers state tax credits and deductions that may reduce your state tax liability. Common state credits include earned income credits, child tax credits, and credits for the elderly. Consult the Pennsylvania Department of Revenue website or a licensed tax professional for credits specific to your situation and income level.
Use the calculator above. Enter your income and PA is pre-selected as your state. The calculator computes your 2026 federal income tax using the One Big Beautiful Bill Act brackets (10%-37%), adds your estimated Pennsylvania state income tax (3.07% flat rate simplified), and displays your total tax burden, combined effective rate, and annual take-home pay. All calculations happen instantly in your browser.