Texas Income Tax Calculator 2026
See your Texas take-home pay and effective tax rate in 60 seconds.
Estimate only. Uses 2026 federal figures, Texasstate figures (see sources below), and a standard-deduction federal calculation. Filing status “Head of household” uses the single column for Texas. Your actual tax depends on credits, additional income, and adjustments.
Worked example: A single filer earning $85,000 in Texas
A Texas resident earning $85,000 pays $0 in state income tax, because Texas has no state income tax. The only mandatory withholdings are federal income tax and FICA, both shown in the calculator above.
Assumes a single filer taking the standard treatment. Figures are educational estimates.
How Texas taxes income
Texas is one of the states with no broad personal income tax. Wages earned by Texas residents are not taxed at the state level — only federal income tax and FICA (Social Security and Medicare) apply.
Because there is no state income tax to calculate, the figure that matters most for Texas workers is take-home pay after federal taxes. Texas typically relies on sales and property taxes instead of an income tax to fund state services.
2026 rate structure
Texas does not levy a state income tax on wage income.
Retirement income & Social Security
Texas has no state income tax, so retirement income — pensions, 401(k) and IRA distributions, and Social Security — is not taxed at the state level.
Local taxes & reciprocity
Texas has no state or local income tax on wages.
Reciprocity: Texas has no income tax reciprocity agreements. If you work across state lines, you generally file a non-resident return where you work and claim a credit to avoid double taxation.
Notable deductions, credits & other taxes
Deductions & credits
- No state income tax — no state-level income deductions or credits apply to wage income
Capital gains: Texas has no state income tax, so capital gains are not taxed at the state level (federal capital gains tax still applies).
Property tax: Property taxes in Texas are assessed and collected locally, so effective rates vary widely by county and municipality. Check your county assessor or the Texas Comptroller of Public Accounts for local rates.
Texas vs. neighboring states
Texas's lack of an income tax is a meaningful advantage over neighbors that do tax wages. Workers near the border with Arkansas, Louisiana, New Mexico sometimes weigh where they live and work because of it. Keep in mind that no-income-tax states often have higher sales or property taxes to compensate.
Texas state tax FAQs
What is the Texas state income tax rate for 2026?
Texas has no state income tax. Wages are not taxed at the state level — only federal income tax and FICA apply.
Does Texas tax retirement income or Social Security?
No. Texas has no state income tax, so neither retirement income nor Social Security benefits are taxed at the state level.
How are capital gains taxed in Texas?
Texas has no state income tax, so capital gains are not taxed at the state level (federal capital gains tax still applies).
Is there a local or city income tax in Texas?
Texas has no state or local income tax on wages.
If I live in Texas but work in another state, do I owe income tax?
You owe no income tax to Texas (it has none), but you may owe income tax to the state where you actually work. You would typically file a non-resident return in that work state.
Sources & verification
Last verified June 12, 2026.