2026 Tax Tables

Iowa Payroll Withholding Calculator (2026)

Iowa completed its move to a flat individual income tax in 2025, and the 2026 withholding formula applies a flat 3.8% rate. Before the rate is applied, employers subtract a deduction that depends on the filing status reported on the IA W-4 — $13,000 for single employees, $26,000 for married couples with one earner, and $19,500 for heads of household. Iowa has no local income tax.

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State Tax Rate

3.8% flat

State W-4 Form

IA W-4

Tax Year

2026

Key Facts

  • Flat 3.8% individual income tax rate for 2026
  • Deduction by filing status: $13,000 single / $26,000 married / $19,500 head of household
  • The optional IA W-4 allowance credit reduces tax slightly and is not modeled here
  • Iowa has no local income tax

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Iowa Withholding — Frequently Asked Questions

What is the Iowa income tax rate for 2026?

Iowa uses a flat 3.8% individual income tax rate for 2026, the result of multi-year reform that replaced Iowa’s former graduated brackets.

How does Iowa withholding handle filing status?

Iowa subtracts a deduction based on IA W-4 status before applying 3.8%: $13,000 for single, $26,000 for married (single-earner), and $19,500 for head of household.

What about Iowa W-4 allowances?

Iowa subtracts a small per-allowance credit from the calculated tax. Because that credit is an employee-entered dollar amount, this calculator omits it; the flat rate and deduction are applied exactly, so any difference is minor and on the side of slightly higher withholding.

Does Iowa have local income taxes?

No. Iowa does not impose city or county income taxes on wages.