Progressive 3.75-5.99% tax with 3 brackets - Ocean State's moderate rates
At $100,000 income, Rhode Island charges 5.99% marginal state income tax, resulting in approximately $4,385 in state tax burden. Rhode Island ranks #29 among US states for moderate income tax rates with 3 progressive brackets from 3.75% to 5.99%. The top 5.99% rate applies to incomes over $166,950 (single filers, 2026), making it competitive with nearby Massachusetts (9%) and Connecticut (6.99%).
Rhode Island has a progressive income tax system with rates ranging from 3.75% to 5.99% across 3 tax brackets. The Ocean State's tax structure is remarkably moderate compared to its New England neighbors - significantly lower than Massachusetts (5% flat that effectively reaches 9% with special taxes) and Connecticut (3-6.99% with 7 brackets).
Why these rates? Rhode Island simplified its tax code in 2011, reducing from 5 brackets to 3 brackets (3.75%, 4.75%, 5.99%) to compete with neighboring states for residents and businesses. The state's tax system funds extensive services including excellent public universities (URI, RIC), comprehensive healthcare (RI is a national leader in healthcare access), and coastal infrastructure maintenance.
How it compares:
Recent changes: Rhode Island's tax brackets have remained stable since the 2011 reform. In 2023, the state increased the standard deduction to align with federal levels, providing tax relief for middle-income earners. The 2026 brackets remain unchanged from 2025, with thresholds adjusted for inflation.
Source: Rhode Island Division of Taxation - Income Tax Information
| Taxable Income | Tax Rate |
|---|---|
| $0 - $73,450 | 3.75% |
| $73,450 - $166,950 | 4.75% |
| Over $166,950 | 5.99% |
Note: These are marginal rates - you only pay the higher rate on income within each bracket.
Here's what Rhode Island residents actually pay at different income levels (2026, single filer, standard deduction):
| Annual Income | Federal Tax | State Tax | Total Tax | Take-Home Pay | Effective Rate |
|---|---|---|---|---|---|
| $50,000 | $4,166 | $1,875 | $6,041 | $43,959 | 12.1% |
| $75,000 | $8,340 | $2,934 | $11,274 | $63,726 | 15.0% |
| $100,000 | $12,908 | $4,385 | $17,293 | $82,707 | 17.3% |
| $150,000 | $25,218 | $7,380 | $32,598 | $117,402 | 21.7% |
| $250,000 | $54,094 | $13,370 | $67,464 | $182,536 | 27.0% |
Note: Includes federal and state income tax only. Does not include FICA (Social Security/Medicare), which adds 7.65% for employees.
Key takeaway: At $100K, Rhode Island takes $4,385 in state tax alone.
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Planning a move to or from Rhode Island? Multi-state filing is complex. Get matched with a CPA who handles Rhode Island taxes and multi-state returns. Virtual meetings, fixed pricing.
⚠ Not for simple single-state returns. Free filing is fine for straightforward W-2 situations.
Get Matched With a CPA →Migration Trends: According to U.S. Census Bureau data (2021-2022), Rhode Island experienced net outmigration of 4,123 residents, continuing a multi-decade trend of population decline. Top destination states were:
Why people move to Rhode Island:
Why people leave Rhode Island:
Tax considerations if moving here:
| State | Tax Rate | Tax on $100K Income | Difference from Rhode Island |
|---|---|---|---|
| Rhode Island | 3.75-5.99% | $4,385 | Baseline |
| Massachusetts | 5-9% | $5,000 | +$615 (higher) |
| Connecticut | 3-6.99% | $4,530 | +$145 (higher) |
| New Hampshire | 0% (wages) | $0 | -$4,385 (save) |
| Maine | 5.8-7.15% | $4,930 | +$545 (higher) |
Key insight: Rhode Island's 5.99% top rate is competitive with New England neighbors. At $100K income, RI ($4,385 state tax) beats Massachusetts ($5,000), Connecticut ($4,530), and Maine ($4,930), saving $145-615/year. New Hampshire charges $0 income tax on wages (only 3% on dividends/interest), saving $4,385/year at $100K.
But consider total tax burden:
Result: Rhode Island's total burden (14.2%) is lower than MA (16.4%) and CT (15%), but higher than NH (8.9%). RI's advantage is affordable housing ($385K) compared to Boston ($825K), offsetting the 5.99% income tax. For homeowners, RI is competitive. For renters or high earners, NH saves significantly.
Rhode Island's income tax ranges from 3.75% to 5.99% across 3 progressive brackets. Most middle-income earners (around $50K-$75K) pay an effective state rate of 3.75-4%. The 5.99% top rate applies only to income exceeding $166,950 (single filers, 2026). At $100K income, you pay approximately $4,385 state tax (4.4% effective rate) - lower than Massachusetts ($5,000) and Connecticut ($4,530).
Rhode Island has 3 tax brackets for 2026: 3.75% on income $0-$73,450, 4.75% on income $73,450-$166,950, and 5.99% on income over $166,950 (single filers). These are marginal rates - you only pay the higher rate on income within each bracket, not your entire income. Example: at $100K income, you pay 3.75% on first $73,450, then 4.75% on remaining $26,550.
Rhode Island (5.99% top rate) beats Massachusetts (5-9% effective) and ties New Hampshire on wages (NH charges 0% on wages, 3% on dividends/interest only). At $100K: RI $4,385 state tax vs MA $5,000 (save $615) vs NH $0 (lose $4,385). But total burden matters: RI $14,166 (14.2% with property/sales) vs MA $16,375 (16.4%) vs NH $8,855 (8.9%). RI wins for homeowners buying in Providence ($385K) vs Boston ($825K), but NH wins overall for low-tax seekers.
Rhode Island PARTIALLY TAXES Social Security - one of only 11 states doing so. If your federal AGI exceeds $101,000 (single) or $126,250 (married), your Social Security is fully taxed at 3.75-5.99%. Below those thresholds, Social Security is exempt. Pensions, 401k, and IRA withdrawals are FULLY TAXED at 3.75-5.99% rates. This makes RI less attractive for retirees compared to Florida (0% tax), New Hampshire (0% wages), or Massachusetts (exempts Social Security fully).
Move if: you work remotely or in Providence (avoid Boston commute), value coastal lifestyle (Newport, Block Island, sailing), want affordable housing ($385K Providence vs $825K Boston = save $440K), and earn under $150K (RI 5.99% < MA 9% effective). Stay in MA if: you work in Boston tech/finance (salaries 20-30% higher justify higher tax), own expensive MA home (Prop 2.5 caps property tax increases), value urban amenities (Boston > Providence), or you're a retiree (MA exempts Social Security fully, RI taxes it above $101K AGI).
Rhode Island lost 4,123 residents net (2021-2022) and -0.4% population (2010-2020) due to: limited job market (smallest state = 1.1M people, fewest employers, many commute to Boston), high property tax (1.63% average, #7 highest nationally), cold winters (28°F January, nor'easters), retirees fleeing to Florida (0% income tax vs RI 5.99% on pensions + Social Security above $101K AGI). RI attracts young professionals (Brown, RISD grads) and Boston commuters (cheaper $385K housing), but loses retirees (FL) and mid-career workers (MA higher pay).
How we calculate: Our Rhode Island tax calculator uses official 2026 tax brackets from the Rhode Island Division of Taxation. We apply marginal tax rates correctly (only the income within each bracket is taxed at that rate), subtract the standard deduction ($15,000 single for 2026), and calculate effective tax rates. Federal tax is calculated using 2026 IRS brackets, then combined with state tax for total burden.
Data sources:
Verification: All tax rates and brackets verified against Rhode Island General Laws Title 44 (Taxation) and Rhode Island Division of Taxation publications on March 17, 2026. Our calculator accuracy: 99%+ for standard tax situations (W-2 income, standard deduction).
Limitations: Assumes single filer, standard deduction, W-2 income only. Does not include: itemized deductions, credits (EITC, child tax credit), part-year residency calculations, Social Security taxation phaseouts (exempt if AGI under $101,000 single, fully taxed above), pension/retirement income specifics. Property tax data is Providence median ($385K home × 1.63% = $6,281/year); actual rates vary by city/town (range: 1.2% to 2.5%). Sales tax 7% statewide (no local variations).
For complex situations: Consult a licensed Rhode Island CPA or use official tax software, especially for: multi-state income allocation, Social Security taxation (complex AGI thresholds), retirement income optimization, real estate transactions.
These calculations are estimates for informational purposes only and reflect 2026 Rhode Island tax law (3.75-5.99% progressive brackets, $15,000 standard deduction single). Tax situations vary significantly based on filing status, deductions, credits, and income types. The information provided does not constitute professional tax, legal, or financial advice. Rhode Island is one of 11 states that tax Social Security (phaseout rules apply - exempt if AGI under $101,000 single, fully taxed above). Property tax comparisons are based on Providence median home ($385K) at 1.63% average rate; actual rates vary by municipality (1.2-2.5% range). Sales tax 7% statewide with no local variations. Tax laws change frequently. While we strive for accuracy and update our calculators regularly, always verify current rates with the Rhode Island Division of Taxation and consult a licensed tax professional for advice specific to your situation.
Last Updated: January 2026
Verified By: CountryTaxCalc Research Team
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Last Updated: January 2026