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E-File is a convenient and accurate way to file your Maine individual income tax return.
Maine has a graduated individual income tax, with rates ranging from 5.80 percent to 7.15 percent. Maine also has a corporate income tax that ranges from 3.50 percent to 8.93 percent. Maine has a 5.50 percent state sales tax rate and does not levy any local sales taxes.
States with the lowest personal income tax rates Alaska. Florida. Nevada. South Dakota. Tennessee. Texas. Washington. Wyoming.
Maine has a 5.50 percent state sales tax rate and does not levy any local sales taxes. Maines tax system ranks 35th overall on our 2023 State Business Tax Climate Index.
Although Maines sales tax rate is one of the lowest in the country (no local sales tax allowed), it has higher-than-average property taxes and its income tax rates are fairly steep for top earners.

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While Maine does not tax Social Security income, other forms of retirement income are taxed at rates as high as 7.15%. It also has above average property taxes, as well as an estate tax. To find a financial advisor who serves your area, try our free online matching tool. Maine is not tax-friendly toward retirees.
Overview of Maine Taxes Maine has a progressive tax system with the one of highest top marginal tax rates at 7.15%. The state sales tax is among the lowest in the country and there are no additional local sales taxes collected throughout the state.

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