Prescription and Over-the-Counter Medicine: Exempt
Unprepared Foods: Exempt
Clothing Items Under $50: Exempt
Vehicle Tax: 7.75% (on vehicles over $50,000)
Gasoline Tax: 54.15 cents/gallon (Includes all state, local, and federal taxes)
Diesel Fuel Tax: 64.50 cents/gallon (Includes all state, local, and federal taxes)
Sales Tax Comments: Jewelry valued at more than $5,000 and clothing more than $1,000 per item may be subject to a 7.75% luxury goods sales tax.
Personal Income Tax
Personal Income Tax Rate Range: Seven brackets from 3.0% to 6.99% (on income over $500,000). Higher-income individuals may be subject to a phase-out add-back tax that effectively increases their tax brackets.
Standard deduction: None
Personal Exemption Allowance: Based on income, can be as high as $15,000. Qualifying widow(er) with dependent can be as high as $24,000. Can phase out to zero.
Tax credits: Credits of up to 75% of tax owed are available, based on income.
Itemized Deductions Allowed? Yes. Subject to limitations.
Social Security: 100% exempt if federal Adjusted Gross Income is less than $75,000 ($100,000 for joint filers). 75% exempt if AGI exceeds $75,000. Taxpayers above these thresholds may qualify for a partial deduction.
IRAs: 25% if federal AGI is less than $75,000 ($100,000 for joint filers). 75% exempt if AGI exceeds $75,000.
401Ks/Defined contribution employer retirement plans: Taxable at ordinary income tax rates
Private Pensions: 100% exempt if federal AGI is less than $75,000 ($100,000 for joint filers). 75% exempt if AGI exceeds 75,000.
Public Pensions: Taxable at ordinary income tax rates, but 50% of state teacher's retirement system income can be excluded.*
Active Duty Pay: Taxable to the extent included in federal AGI
Military Retirement Pay: Exempt
Military Disability Pay: Exempt
VA Disability Dependency & Indemnity Compensation Benefits: Exempt
Local municipalities average 2.14% of the property's assessed value.
Calculation of assessed value: 70% of fair market value.
Relief programs for:
Veterans/Surviving Spouses: All veterans are entitled to a $1,000 exemption of assessed value. May be eligible for an additional 200% if meet certain requirements.
Disabled Veterans: Up to $10,000 in exemptions are available.
65 and over or Disabled: Tax credits available based on income, maximum is $1,000 for single filers, $1,250 for married filing jointly
Personal Property Tax: Yes, rates and exemptions vary.
Property Tax Comments: Additional exemptions and/or freezes may be eligible at the municipal level.
Inheritance & Estate Taxes: Estates over $12.92 million can pay 12%. Tax capped at $15 million. There is no inheritance tax.