North Carolina state income tax rates and calculator
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North Carolina levies its state income tax at a flat rate of 4.5 percent on 2024 income. However, a new law will reduce that flat rate over the next several years.
North Carolina income taxes 2024
Total income taxes:
$25,417.25
| Tax Type | Effective Tax Rate | Amount |
|---|---|---|
| Federal | 13.84% | $13,841 |
| State | 3.93% | $3,926 |
| FICA | 7.65% | $7,650 |
North Carolina personal income tax rates for 2024
North Carolina switched from a graduated-rate tax system for personal income taxes to a flat rate in 2014, originally starting at 5.8 percent.
The rate has slowly been reduced over the years, bringing the tax rate to 4.5 percent for income earned in 2024 and reported on tax returns filed in 2025.
North Carolina lawmakers have also approved future tax cuts, reducing the tax rate to 4.25 percent in 2025 and 3.99 percent in 2026 and thereafter. See North Carolina’s tax rate schedules.
Who has to file North Carolina state taxes?
Residents of North Carolina who exceed a federal gross income amount tied to their filing status — see the the chart below — are required to file a state tax return.
| Filing status | You must file a tax return if federal gross income exceeds… |
|---|---|
| Single | $12,750 |
| Head of household | $19,125 |
| Married filing jointly or surviving spouse | $25,500 |
| Married filing separately | $12,750 (however, if spouse claims itemized deductions, then the threshold is $0) |
| Nonresident alien | $0 |
Slightly different requirements apply to part-year residents and nonresidents. See the North Carolina Revenue Department’s filing requirements page for more information.
North Carolina individual income tax returns are due April 15 or the next business day if that date falls on a weekend or holiday.
Is there a personal exemption or standard deduction in North Carolina?
North Carolina doesn’t offer personal exemptions, but does have a standard deduction that you can claim to reduce your taxable income.
North Carolina standard deduction amount for 2024
| Filing status | Standard deduction |
|---|---|
| Single | $12,750 |
| Head of household | $19,125 |
| Married filing jointly | $25,500 |
| Married filing separately | $12,750 ((however, if spouse claims itemized deductions, then you can’t claim the standard deduction) |
North Carolina sales tax rate
North Carolina imposes a 4.75 percent state sales tax and allows counties to charge an additional local sales tax, which averages 2.25 percent, according to the Tax Foundation. The North Carolina Department of Revenue offers a complete list of tax rates for its counties.
Other things to know about North Carolina taxes
- North Carolina property taxes are locally assessed and collected by the counties. The effective property tax rate, on average, on owner-occupied residential real estate, is 0.63 percent, according to the Tax Foundation.
- North Carolina doesn’t have an estate or inheritance tax.
- The top corporate tax rate is 2.5 percent.
- The gasoline tax rate is just over 40 cents per gallon in 2025.
- The cigarette tax rate is 45 cents per pack of 20 cigarettes.