North Carolina income tax rate 2026
OfficialNorth Carolina rates, brackets and the tax on common salaries.
- Rate
- 3.99%
- Tax on $75,000
- $2,484
- 3.3% effective
- Tax on $100,000
- $3,481
- 3.5% effective
- Rank among taxing states
- #30 of 42
- by tax taken on $75,000, 1 takes the most
What is the North Carolina income tax rate in 2026?
North Carolina taxes wages at a flat 3.99% in 2026. On a $75,000 salary, North Carolina income tax is $2,484, an effective rate of 3.31%.
How this is calculated
- The effective rate is the yearly state income tax divided by gross pay, after the state's deductions and exemptions.
- The reference worker is a single filer with one job, paid every two weeks, with a standard Form W-4 and no pre-tax deductions, under 65.
North Carolina income tax brackets for 2026
North Carolina has one flat rate of 3.99% for every filer, so there are no brackets: the same rate applies to every dollar of taxable income. North Carolina tax is owed on top of federal income tax, which follows the federal tax brackets for 2026.
Single
| Taxable income over | Rate |
|---|---|
| $0 | 3.99% |
Married filing jointly
| Taxable income over | Rate |
|---|---|
| $0 | 3.99% |
Head of household
| Taxable income over | Rate |
|---|---|
| $0 | 3.99% |
How much North Carolina income tax do you pay on $100,000?
On $100,000 of wages, North Carolina income tax is $3,481 in 2026, an effective rate of 3.48%. The table runs from $30,000 to $300,000. Enter your own pay in the North Carolina tax calculator to see every paycheck. At the low end, see what a full-time job keeps at the minimum wage in North Carolina.
How this is calculated
- Each salary is single filer wages with no pre-tax deductions, through the state's rules for the year.
- The reference worker is a single filer with one job, paid every two weeks, with a standard Form W-4 and no pre-tax deductions, under 65.
What is the North Carolina standard deduction in 2026?
The North Carolina standard deduction is $12,750 for single filers and $25,500 for married couples filing jointly in 2026.
- Standard deduction, single
- $12,750
- Married filing jointly
- $25,500
- Personal exemption
- None
How did North Carolina income tax change in 2026, and what changes in 2027?
North Carolina cut its rate to 3.99% in 2026, from 4.25% in 2025. For 2027, it is 3.49% (announced).
| Tax year | Kind | Lowest rate | Top rate | Standard deduction, single | Status |
|---|---|---|---|---|---|
| 2025 | flat | 4.25% | 4.25% | $12,750 | official |
| 2026 | flat | 3.99% | 3.99% | $12,750 | official |
| 2027 | flat | 3.49% | 3.49% | $12,750 | announced |
How does North Carolina income tax compare with other states?
On $75,000, North Carolina income tax ranks #30 of 42 states that tax wages, where #1 takes the most. The state income tax rates for 2026 page compares all of them.
How this is calculated
- Each state's income tax on the same $75,000 salary, single filer, under its rules for 2026.
- States without a wage income tax are left out of this rank.
- The reference worker is a single filer with one job, paid every two weeks, with a standard Form W-4 and no pre-tax deductions, under 65.
How is North Carolina income tax withheld from a paycheck?
Employers withhold North Carolina income tax from each paycheck, using the Form NC-4 (or NC-4 EZ) each employee fills in. On a $75,000 salary paid every two weeks, that is $98.00 a paycheck. North Carolina employers withhold about $64 more a year than the tax owed on $75,000, so a typical worker gets it back at filing.
Employer withholding tables can differ from the yearly tax owed; the return settles the difference.
How this is calculated
- Annualized method from Form NC-30 (2026): yearly wages minus the standard deduction ($12,750 for single and married, $19,125 for head of household) and $2,500 per allowance, times 4.09% (the 3.99% rate plus 0.1%), rounded to the dollar. The calculator assumes Form NC-4 with the allowances for the child deduction from its table, plus 5 allowances for a married filer whose spouse has no wages.
Questions people ask
How much North Carolina tax is withheld from a bonus?
Employers can withhold North Carolina tax on a bonus at a flat 4.09%. The return settles the actual tax on it.
Does North Carolina tax overtime and tips?
Yes. North Carolina taxes overtime and tips in full. Federal law lets workers deduct qualified tips and the extra half of overtime pay, within limits, from 2025 to 2028, but North Carolina has not adopted that.
Do 401(k) contributions lower North Carolina income tax?
Yes. Traditional 401(k) contributions lower North Carolina taxable wages, as they do for federal income tax.