Unless you’re a nonresident, anyone who works in Maine or earns income from a Maine source must file a state tax return. Maine’s top income tax rate has been cut multiple times in recent years but remains at 7.15% for the 2024 filing year. The state’s sales tax is also among the lowest in the country but only applies to taxable goods, not services.
Income taxes are based on ordinary income, which is the typical money you earn daily, like your paycheck from a job or profits from a small business. This type of income doesn’t get any special tax perks like long-term capital gains or qualified dividends, so it’s taxed at rates that vary according to how much you earn. Your employer must withhold income taxes from your salary, and you’ll need to file a tax return every year. Your household could face substantial late fees and interest if you don’t file a return.
Maine Tax Brackets 2024
| Tax Rate | Filing Status | Income | Taxes Due |
|---|---|---|---|
| 5.8% | Single or Married Filing Separately Head of Household Married Filing Jointly | $0 – $24,500 $0 – $36,750 $0 – $49,050 | 5.8% of Income 5.8% of Income 5.8% of Income |
| 6.75% | Single or Married Filing Separately Head of Household Married Filing Jointly | $22,450 – $53,150 $33,650 – $79,750 $44,950 – $106,350 | $1,302 + 6.75% $1,952 + 6.75% $2,607 + 6.75% |
| 7.15% | Single or Married Filing Separately Head of Household Married Filing Jointly | $53,150 or more $79,750 or more $106,350 or more | $3,374 + 7.15% over $53,150 $5,064 + 7.15% over $79,750 $6,752 + 7.15% over $106,350 |