New Hampshire State Tax: Overview
New Hampshire has no income tax and no sales tax. New Hampshire also has fairly high property taxes when compared to other states.
Earned income is untaxed in New Hampshire, but the state taxes dividends and interest at 5%. (The tax is scheduled to be eliminated in 2025.)
Social Security benefits are not taxed by the state. Income from retirement plans is exempt from New Hampshire's interest and dividends tax. Railroad Retirement benefits are also exempt.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
[Data for this state tax guide was gathered from a number of sources including the Census Bureau, the state’s government website, the Sales Tax Handbook, and the Tax Foundation. Property taxes are cited as a rate percentage rather than the assessed value.]
New Hampshire Income Taxes
New Hampshire Income Tax Range
New Hampshire is a state that doesn't have a personal income tax. However, currently, the state has a 5% tax on dividends and interest.
However, due to legislation, the tax on dividends and interest is being phased out. The rate will be 4% for 2023, 3% for 2024, 2% for 2025, and 1% for 2026. The tax is scheduled to be repealed in 2027, according to the New Hampshire Department of Revenue Administration.
New Hampshire sales tax
Income from retirement plans is exempt from New Hampshire's interest and dividends tax. Railroad Retirement benefits are also exempt.
How much are property taxes in New Hampshire?
In New Hampshire, the median property tax rate is 1.93% of assessed home value, according to the Tax Foundation.
New Hampshire Property Tax Breaks for Retirees
An exemption for property taxes is available to those age 65 and older who have lived in New Hampshire for at least three years.
New Hampshire gas) taxes (motor fuel)
| Product | Tax |
|---|---|
| Gasoline | $0.24 per gallon |
| Diesel | $0.24 per gallon |
Source: Sales Tax Handbook
New Hampshire taxes on tobacco and alcohol
| Product | Tax |
|---|---|
| Cigarettes | $1.78 per pack |
| Other Tobacco Products | 48% of the wholesale price |
| Medical Marijuana | 0.00% |
Source: Sales Tax Handbook
| Product | Tax |
|---|---|
| Beer | $0.00 per gallon |
| Wine | $0.30 per gallon |
| Liquor | state-controlled |
New Hampshire's general sales tax does not apply to the purchase of beer, wine, and liquor.
Source: Sales Tax Handbook
New Hampshire estate and inheritance taxes
New Hampshire doesn't have estate or inheritance tax.
-
Why You’ll Still Pay Oklahoma Grocery TaxState Tax Oklahoma is eliminating state grocery taxes, but that doesn’t mean groceries will be tax-free.
-
Last-Minute Tax Savings Guide for 2023
Tax Savings April 15 is weeks away, so it's not too late to save your 2023 taxes.
-
Why You Should Care About Your 2026 Taxes Now
Tax Planning It's not to early to prepare for the possibility that your taxes will go up in 2026.
-
Capital Gains Tax Exclusion for Homeowners: What to Know
Tax Breaks The IRS capital gains home sale exclusion can be a valuable tax-saving tool if you’re eligible.
-
Save During Alabama’s Severe Weather Preparedness Tax Holiday
Sales Tax Holiday Certain items will be tax-free during the Alabama severe weather preparedness sales tax holiday this year, but there are specific rules to follow.
-
Will Your IRS Refund Be Less This Year?
Tax Refunds Data show federal tax refunds are lower this year than last. Will you get less money back from the IRS this tax season?
-
Four Things You Need to Know About Presidents Day and the IRS
Tax Season The weeks surrounding Presidents Day are a particularly busy tax time for the IRS.
-
States With IRS Tax Deadline Extensions This Year
Tax Deadlines The IRS has extended tax deadlines in several states due to severe storms and natural disasters.
