Results are estimates for educational purposes only. Based on 2026 IRS federal brackets and Texas state tax rates. Always consult a qualified tax professional.
Texas income tax overview
Texas has no state income tax — one of only nine states with this distinction. The Texas Constitution actually prohibits a personal income tax unless approved by voters in a constitutional amendment. This makes Texas particularly attractive to high earners relocating from high-tax states like California and New York. However, Texas makes up some of this revenue through relatively high property taxes and sales taxes. The state sales tax is 6.25%, and local additions can push the total to 8.25%. Despite no income tax, Texas workers still pay federal income tax and FICA taxes on their wages.
2026 Texas income tax rates
⭐ Texas has no state income tax. Residents only pay federal income tax and FICA taxes.
Worked example: $75,000 salary in Texas
A $75,000 salary in Texas results in $0 state income tax, plus $12,580 in federal income tax, $4,650 in Social Security, and $1,088 in Medicare. Your annual take-home pay is approximately $56,682, or $2,180 bi-weekly — significantly more than comparable salaries in California or New York.
Key facts: No state income tax · No local income tax · High property taxes offset some savings
Frequently asked questions — Texas income tax
The Texas Constitution prohibits a personal income tax without voter approval. Texas funds state government primarily through sales taxes, property taxes, severance taxes on oil and gas, and business franchise taxes. There has been no serious political movement to change this.
Texas workers pay no state income tax but do pay federal income tax and FICA taxes (Social Security and Medicare) like all Americans. Texas also has relatively high property taxes if you own a home, and sales tax of up to 8.25%.
On a $75,000 salary, Texas workers keep approximately $5,492 more per year than California workers — the amount that would have gone to California state income tax. On higher salaries this difference grows substantially.
Texas has no income tax, so retirement income including Social Security, pensions, IRA withdrawals, and 401k distributions are all completely free from state tax. This makes Texas very popular for retirees.
No. Texas cities and counties are not permitted to levy a local income tax. The only income-based taxes Texans pay are federal — no state, no local income tax of any kind.
Compare Texas to other states
Use our US income tax calculator to compare your take-home pay across all 50 states. You may be surprised how much location affects your net income.