2025 Ohio Tax Brackets
Ohio simplified its tax structure in recent years, reducing to just 3 brackets with a generous zero-rate bracket. The first $26,050 of taxable income is completely exempt from Ohio income tax.
| Tax Rate | Taxable Income Range |
|---|---|
| 0% | $0 – $26,050 |
| 2.765% | $26,050 – $100,000 |
| 3.688% | Over $100,000 |
This structure means a single filer earning $50,000 only pays tax on $23,950 ($50,000 minus $26,050), resulting in approximately $662 in state tax — an effective rate of just 1.3%. Even a filer earning $100,000 pays only about $2,044, for an effective rate of 2.0%.
| Gross Income | OH Taxable Amount | OH State Tax | Effective Rate |
|---|---|---|---|
| $26,050 or less | $0 | $0 | 0% |
| $50,000 | $23,950 | $662 | 1.3% |
| $75,000 | $48,950 | $1,354 | 1.8% |
| $100,000 | $73,950 | $2,044 | 2.0% |
| $150,000 | $123,950 | $3,888 | 2.6% |
Ohio Municipal Income Taxes
Like Pennsylvania, Ohio allows cities and school districts to levy their own income taxes. These local taxes can add significantly to your total tax burden depending on where you live and work.
| City | Municipal Tax Rate | Credit for Taxes Paid Elsewhere |
|---|---|---|
| Columbus | 2.5% | Full credit up to 2.5% |
| Cleveland | 2.5% | Full credit up to 2.5% |
| Cincinnati | 1.8% | Full credit up to 1.8% |
| Dayton | 2.5% | Full credit up to 2.5% |
| Toledo | 2.5% | Full credit up to 2.5% |
If you live and work in the same city, you pay that city's rate once. If you live in one city and work in another, you may owe tax to both, but most cities provide a credit for taxes paid to your work city. Some Ohio school districts impose an additional 0.5%–2% tax as well.
Ohio Tax Credits
Ohio offers several credits that can further reduce your state tax. The Retirement Income Credit provides up to $200 for taxpayers receiving retirement income. The Senior Citizen Credit is $50 for taxpayers aged 65 or older with Ohio AGI of $100,000 or less. The Lump Sum Retirement Credit applies to lump-sum retirement distributions. Ohio also provides a Joint Filing Credit for married couples filing jointly, worth up to $650 based on Ohio taxable income.
Ohio Income Tax Overview
The standard deduction is subtracted from your gross income to determine your taxable income before the brackets are applied. Practical tip: the effective rate you actually pay is usually far lower than the top marginal rate. For typical middle-income earners, the effective state tax rate lands well below the headline rate.
The standard deduction directly reduces your taxable income before any tax brackets are applied. The state sales tax rate is 5.75% (avg combined 7.2%), which applies to most goods and some services depending on local laws. Property taxes in Ohio average approximately 1.56% of home value. For context, the national average property tax rate is roughly 1.1%. Residents should check their city and county rates, as local add-ons can significantly increase the combined sales tax rate above the state base rate.
Compared to neighboring states — Indiana (3.05%), Michigan (4.25%), Pennsylvania (3.07%), West Virginia (6.5%), Kentucky (4.5%) — Ohio offers a distinct balance of rates, deductions, and available credits that can significantly impact your total tax burden. For retirement income: SS exempt, $200 retirement credit. Ohio first $26,050 of income is effectively tax-free. Ohio offers various state-specific deductions and credits that can reduce tax liability. The annual filing deadline for state income tax returns is April 15, matching the federal deadline. Taxpayers who cannot file by the deadline can request an automatic six-month extension, though any tax owed must still be paid by April 15 to avoid interest and penalty charges. Self-employed individuals, recent movers, and retirees with complex income sources should consult a qualified tax professional for personalized guidance.
Frequently Asked Questions
Ohio has a progressive system with 3 brackets. Income up to $26,050 is tax-free (0% rate). Income from $26,050 to $100,000 is taxed at 2.765%, and income over $100,000 is taxed at 3.688%.
No, but the first $26,050 of income is effectively tax-free for all filers due to the 0% bracket. This functions similarly to a built-in deduction.
Ohio provides a retirement income credit of up to $200 for taxpayers with retirement income. Social Security benefits are not taxed by Ohio. Additionally, Ohio offers a senior citizen credit for taxpayers 65 and older.
Yes. Many Ohio cities and school districts impose their own municipal income taxes, typically ranging from 1% to 3%. The City of Columbus charges 2.5%, Cleveland charges 2.5%, and Cincinnati charges 1.8%.
Some Ohio school districts impose an additional income tax, which can be either an earned income tax or a traditional tax on all income. Rates vary by district, typically between 0.5% and 2%. You can check your district's rate on the Ohio Department of Taxation website.
Ohio's $26,050 zero-bracket is effectively a built-in tax exemption for low and moderate-income earners. A single filer earning $26,050 or less pays zero Ohio income tax. This is more generous than most states — for comparison, Illinois taxes from the first dollar with no deduction.
Ohio uses 0-3.688% progressive (3 brackets) system. The standard deduction is None (0% bracket on first $26,050).
SS exempt, $200 retirement credit
