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State Tax on Home Sale Profit: 50 Jurisdictions Checked (2026)

Updated October 8, 2026. Quick answer: This table covers 50 jurisdictions: 49 states and the District of Columbia. 9 of them have no individual income tax that reaches the profit on selling a home; 37 start from or follow the federal calculation, so a gain excluded under section 121 stays out of state income; and Pennsylvania, Arizona, Arkansas and Missouri apply their own rules to some or all of the gain. Every row comes from the state’s own documents, linked on the state’s page.

More IRS forms and schedules, read line by line: Form 1099-S instructions.

How the 50 jurisdictions treat home sale profit

Open a state’s page for the document quotes, the closing rule, a worked example at a $400,000 gain and what the documents leave open.

StateTreatmentBasis
AlabamaSame as federalTaxed to the same extent as the federal return; graduated, up to 5%; nonresident sellers withheld
AlaskaNo state income taxIndividual income tax repealed in 1980 (Tax Division)
ArizonaStarts from federal AGIFlat 2.5% on the excess; 25% subtraction for long-term gain on assets acquired after 2011
ArkansasOwn exclusion rule$250,000 / $500,000 exempt; half of net long-term gain taxed; top rate 3.7% for 2026; deed tax $3.30 per $1,000
CaliforniaFollows the federal exclusionExcess taxed as regular income; Form 593 withholding of 3 1/3% of price unless principal residence
ColoradoStarts from federal incomeFlat 4.4% on the excess; nonresident sellers withheld 2% unless principal residence
ConnecticutStarts from federal AGIGraduated, top rate 6.99% over $500,000; seller-paid conveyance tax from 0.75%
DelawareStarts from federal AGIGraduated, top rate 6.6% over $60,000; realty transfer tax 3 percent, split between buyer and seller
FloridaNo state income taxConstitution bars income tax on residents; documentary stamp tax 70 cents per $100 on deeds (60 cents in Miami-Dade)
GeorgiaConforms to the CodeFlat 4.99% on the excess for 2026 (5.19% for 2025); nonresident sellers withheld 3% of the price unless the home is a principal residence with no taxable gain
HawaiiFollows the exclusionForm N-103 gives the $250,000 / $500,000 exclusion; 7.25% alternative capital gains computation; nonresident sellers withheld 7.25 per cent
IdahoConforms to the CodeFlat 5.3% on the excess; no sale-time rule found
IllinoisStarts from federal AGIFlat 4.95% on the excess; no sale-time withholding found
IndianaStarts from federal AGIFlat 2.95% from 2026 (3% for 2025) on the excess; county taxes not read
IowaStarts from federal taxable incomeFlat 3.8% on the excess; seller liable for transfer tax of eighty cents per five hundred dollars
KansasStarts from federal AGIGraduated: 5.2%, then 5.58% over $23,000 single ($46,000 joint); no sale-time rule found
KentuckyFollows federal gross incomeFlat 3.5% from 2026 (4% for 2024 and 2025) on the excess
LouisianaStarts from federal AGIFlat 3% on the excess; no sale-time rule found
MaineFollows the CodeGraduated, top rate 7.15%; transfer tax of $2.20 per $500 of value, half on the seller
MarylandStarts from federal AGIGraduated, 2% to 6.50%; extra 2% on net capital gain at high incomes, but not on a primary residence sold for less than $1,500,000; nonresident sellers withheld 8.75%
MassachusettsFollows the federal exclusionExcess taxed at 5.00% (plus 4% surtax over $1,107,750); sales of $1,000,000 or more: Form NRW
MichiganStarts from federal AGIBase rate 4.25% on the excess (reduced in some years); state transfer tax $3.75 per $500.00 of value
MinnesotaStarts from federal AGIGraduated, 5.35% to 9.85% (2026 tables); no sale-time rule found
MississippiFollows federal treatmentFlat 4.0% for 2026 over $10,000 (4.4% for 2025); nonresident sellers: 5% of gain (Form 89-386, Rev. 10/25)
MissouriCapital gain subtracted100 percent of federally reported capital gain subtracted from tax year 2025; top bracket 4.7%
MontanaStarts from federal AGILong-term capital gains taxed at 3.0%, then 4.1%; no sale-time withholding found
NebraskaStarts from federal AGIGraduated, top rate 4.55% for 2026 (5.20% for 2025); seller-paid documentary stamp tax of two dollars and twenty-five cents per one thousand dollars
NevadaNo state income taxNo income tax on individuals; transfer taxes $2.55 or $1.95 per $500 of value (NRS 375.020 plus 375.023)
New HampshireNo state income taxIncome tax chapter repealed effective January 1, 2025; transfer tax $.75 per $100
New JerseySame as federalGain calculated as federally; residents file GIT/REP-3, nonresidents prepay unless principal residence; 1% Realty Transfer Fee
New MexicoStarts from federal AGIGraduated, 1.5% to 5.9%; $2,500 net capital gains deduction; no sale-time rule found
New YorkStarts from federal AGIResident rates 4% to 10.9%; nonresident sellers prepay on Form IT-2663 unless principal residence
North DakotaStarts from federal taxable incomeZero bracket, then 1.95% and 2.50%; 40% net long-term gain exclusion may apply; no sale-time rule found
OhioStarts from federal AGIGraduated; 2026 and after $332.00 plus 2.75% over $26,050; county transfer tax up to thirty cents per hundred dollars
OklahomaStarts from federal AGIGraduated, top rate 4.5% for 2026; deed stamp tax 75 cents per five hundred dollars, paid by either party
OregonIdentical in effect to federalGraduated, top rate 9.9% over $125,000; nonresident sellers withheld up to 4% of the price
PennsylvaniaOwn four-part ruleQualifying gain excluded; other gain taxed at 3.07 percent; 1 percent realty transfer tax
Rhode IslandFollows the exclusionGraduated 3.75% to 5.99%; seller-paid conveyance tax $3.75 per $500 plus a second tier over $800,000
South CarolinaFollows the federal exclusionTop rate 6% for 2025 and 5.21% for 2026 (Act 110); 44% net capital gain deduction in the 2025 instructions; nonresident sellers withheld at the top rate
South DakotaNo state income taxNo state income tax; seller (grantor) pays a transfer fee of fifty cents per five hundred dollars
TennesseeNo state income taxHall tax repealed from 2021; realty transfer tax $0.37 per $100 of price
TexasNo state income taxNo personal income tax (Comptroller Fiscal Notes)
UtahStarts from federal AGIFlat 4.45% for 2026 (4.5% for 2025); no sale-time rule found
VermontStarts from federal AGIGraduated 3.35% to 8.75%; nonresident sellers withheld 2.5%; property transfer tax owed by the buyer
VirginiaStarts from federal AGIGraduated, top rate 5.75% over $17,000; nonresident sellers register on Form R-5
WashingtonNo state income taxNo income tax; capital gains excise tax exempts real estate; seller-paid real estate excise tax
Washington, DCFollows federal gross incomeGraduated, top rate 10.75% over $1,000,000; seller-paid deed transfer tax 1.1% or 1.45%
West VirginiaStarts from federal AGIGraduated, top rate 4.58% for 2026 (4.82% for 2025); transfer excise tax $1.10 per $500; nonresident sellers withheld unless they certify the home is their principal residence
WisconsinFollows the federal exclusionSame $250,000 / $500,000 exclusion; 30% of net long-term gain excluded; graduated rates
WyomingNo state income taxIndividual income tax 0% (Legislative Service Office)

The federal exclusion behind the table

Most rows start from the federal rule: “Gross income shall not include gain from the sale or exchange” of a principal residence that meets the ownership and use tests, up to “shall not exceed $250,000” ($500,000 on a qualifying joint return). See CMG’s home sale taxes and capital gains tax by state pages.

States not yet covered

A state is added only when its own tax documents support the row. States whose documents have not yet been read are left out of the table rather than guessed.

Related: home sale taxes, and capital gains tax by state.

Each row comes from the state’s own tax documents; the first document for each state is linked below, and the rest are on the state’s page.

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Sources

Sources: the primary documents linked above, read on October 7 and October 8, 2026. General information, not tax advice. Your own facts decide the outcome, and a tax professional or the state agency itself is the right place to confirm anything consequential.

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