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Massachusetts Income Tax Rates 2025

Massachusetts has a flat income tax rate of 5% on all taxable income, plus an additional 4% surtax on annual income exceeding $1 million (the "Millionaire's Tax" approved by voters in 2022).

Tax Type

Flat

Rate Range

5% + 4% surtax over $1M

Brackets

1

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Massachusetts is only part of the equation — federal taxes apply too.

State Tax Ranking

#38 of 51 High tax burden at $75,000 income

At $75,000 income (single filer), Massachusetts ranks #38 out of 51 states — where #1 is the lowest tax burden.

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Tax at Different Income Levels

Income State Tax Effective Rate Take-Home
$50,000 $2,500 5.00% $43,629
$75,000 $3,750 5.00% $63,301
$100,000 $5,000 5.00% $81,551
$150,000 $7,500 5.00% $117,433
$200,000 $10,000 5.00% $152,933

Single filer, standard deduction, 2025 tax year. Take-home is after federal + state income tax (excludes FICA).

Tax Overview

Massachusetts has a flat income tax rate of 5% on most income, plus an additional 4% surtax on income over $1 million (the 'millionaire tax' effective 2023). This creates an effective 9% rate on income above $1 million. MA does not offer separate standard deductions like the federal system.

Tax Planning Tip

For most earners, the flat 5% rate is straightforward. If your income approaches $1 million (including capital gains), the additional 4% surtax creates a cliff — $1 of income over $1M costs an extra $40,000 in tax. Timing income around this threshold can be valuable.

The $1 million surtax threshold is adjusted annually for inflation. Massachusetts does not tax Social Security benefits. Short-term capital gains are taxed at 8.5%, while long-term gains are taxed at the standard 5% rate.

Property Tax & Cost of Living

Property Tax Rate
1.12%
$6,720/yr on $600,000 home
Cost of Living Index
131
31% above national average
Median Home Value
$600,000
Housing index: 168 (avg = 100)

Property tax rate is the state average effective rate. Actual rates vary by county. COL index from a composite cost-of-living index (C2ER-style methodology; see data-file note).

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Frequently asked questions

What is Massachusetts's income tax rate in 2026?

Massachusetts has a flat income tax rate of 5% on all taxable income, plus an additional 4% surtax on annual income exceeding $1 million.

Does Massachusetts tax Social Security benefits?

Massachusetts does not tax Social Security benefits at the state level.

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