Taxes in Iowa: Income, Sales, and Property Tax Guide
Top Income Tax Rate
5.8%
Combined Sales Tax
6.9%
Avg Property Tax Rate
1.4%
Median Household Income
$72,429
How Iowa Compares to National Average
IRS Statistics of Income Data
Average AGI
$53,800
Average Tax Liability
$6,900
Itemized Deduction Rate
24.0%
Avg SALT Deduction
$6,200
Avg Mortgage Interest Deduction
$8,100
Avg Charitable Deduction
$5,000
Source: IRS Statistics of Income (2022 tax year)
What This Means for You
With a top marginal rate of 5.8%, Iowa's income tax is near the national median. Combined with a 6.9% sales tax and 1.4% property tax rate, the overall tax burden in Iowa varies depending on your income, spending, and homeownership status.
Frequently Asked Questions
Does Iowa have an income tax?
Yes, Iowa has a state income tax with a top marginal rate of 5.8%.
What is the sales tax in Iowa?
The combined state and local sales tax rate in Iowa is approximately 6.9%.
How does Iowa compare to other states?
Visit our state comparison page or use the Compare tool to see how Iowa's tax burden compares to neighboring states and the national average.
Related Resources
Data sources: Tax Foundation (2024), IRS Statistics of Income (2022). TaxGrader is not a CPA, tax advisor, enrolled agent, or attorney. This content is for educational and informational purposes only.