New Hampshire state income tax
New Hampshire has no state individual income tax. Wages, self-employment income, capital gains, and retirement withdrawals are not taxed by New Hampshire at the state level (federal tax still applies). The state funds itself through sales tax and property tax instead.
Does New Hampshire have a state income tax?
No. New Hampshire is one of the states with no individual income tax, so there is no state tax on your wages or salary. No individual income tax on wages. The Interest & Dividends Tax (RSA 77) was fully repealed effective January 1, 2025 (2021, 91:189, II), so no NH tax applies to interest, dividends, wages, or other individual income for 2026.
| Item | New Hampshire |
|---|---|
| State income tax | None |
| Capital gains tax | None (no income tax) |
| State sales tax | 0% |
| Avg. property tax rate | 1.5% of home value |
| Estate / inheritance tax | None |
How does New Hampshire tax capital gains?
New Hampshire does not tax capital gains, because it has no state income tax. You still owe federal capital gains tax. See how capital gains tax works in 2026.
What about retirement income in New Hampshire?
Because New Hampshire has no income tax, Social Security, pensions, and 401(k)/IRA withdrawals are all untaxed at the state level. See New Hampshire retirement taxes for the full picture.
Sources
- New Hampshire income tax: New Hampshire Department of Revenue / Taxation.
- New Hampshire capital gains treatment: New Hampshire tax authority.
- New Hampshire sales tax: New Hampshire Department of Revenue.