With the arrival of 2024, 34 U.S. states are set to implement a range of important tax changes. These changes span various areas, including adjustments in individual and corporate income tax rates, sales and use tax reforms, and property tax relief measures. Let's dive into a summary of the key changes:
Individual Income Tax Updates
States like Arkansas, Georgia, and Ohio are implementing reductions in their income tax rates.
Georgia is adopting a flat tax model.
Michigan is set to increase individual income tax rates.
California is particularly noteworthy, with its top marginal individual income tax rate on wage income increasing to 14.4%, mainly due to changes in the payroll tax for the state's disability insurance program.
Corporate Income Tax and Business Tax Revisions
Corporate tax rate reductions are being introduced in Arkansas, Iowa, and Nebraska.
Florida will lower its tax rate on business rent.
Sales, Property, and Excise Tax Modifications
Kansas will significantly cut its grocery sales tax rate.
Property tax relief measures are on the way in Colorado and Texas.
Increases in excise taxes on motor fuel are expected in Oregon and Utah.
For a detailed and comprehensive breakdown of each state's tax changes, please visit the Tax Foundation's Overview of 2024 State Tax Changes. These changes are pivotal for both personal and business financial planning, so we recommend staying updated by regularly visiting our website.
