Maine State Income Tax 2023 - 2024

Maine taxes most forms of income, including wages, salaries, bonuses, and tips. The state also taxes investment income, such as capital gains. The state also has several tax deductions and credits, such as the property tax fairness credit and the child care credit.

Maine State Income Tax is progressive, with the first bracket at 5.8% and the top rate at 7.15%. You can claim deductions and exemptions to decrease your tax burden. The homestead exemption lets you deduct the value of your primary residence. Additionally, the state offers property tax credit for those who qualify. You can set up a free introductory call to find out if an advisor is right for you. Then you can decide if you want to work together. Counties that were declared disaster areas due to snowstorms and flooding last year have an extended filing deadline. The extension covers Androscoggin, Franklin, Hancock, Kennebec, Oxford, Penobscot, Piscataquis, Somerset, and Waldo counties.

In recent years, lawmakers have lowered the top Maine State Income tax rate several times, reducing it from 8.5% in 2011 to 7.95% for the 2024 tax year and now 7.15%. But that’s still one of the highest rates in the country. And while many advocates are pushing for even lower rates, others are concerned that such moves could harm middle-income families.

Maine State Income Tax Due Dates

Maine State Income Tax Due Dates

While most Americans have until Monday, April 15 to file their federal taxes, taxpayers in some states have more time. And that’s especially true for residents of Maine and Massachusetts.

The IRS has extended the filing deadline for individuals in the two states who live in areas impacted by recent flooding and wildfires. This is the second time the agency has given relief to affected residents.

Last week, the IRS announced that it was postponing various filing and payment due dates for individuals and businesses in several counties impacted by severe storms and flooding. The new tax relief gives residents of Cumberland, Knox, Lincoln, Sagadahoc, Waldo, Washington, and York counties until July 15.

Residents in other Maine communities impacted by the winter storms have until May 17 to file their state returns. That’s because the Pine Tree State follows the federal tax calendar, and the filing date for individual income taxes is automatically tied to the Federal deadline. But don’t confuse the filing deadline with the payment deadline. You still need to send your payment by the April 18 deadline to avoid penalties.

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