Ohio Tax Policy & Rates 2026
Income tax, sales tax, property tax, and overall tax burden for Ohio in 2026, with political context.
No
No Income Tax
3.75% (top, flat)
Income Tax Rate
#29
Tax Burden Rank (1=highest)
#41
Property Tax Rank (1=highest)
Tax Policy Overview
Ohio has a relatively low flat income tax and a Commercial Activity Tax on business gross receipts instead of a traditional corporate income tax. The state has a moderate overall tax burden. Local income taxes in municipalities add to the effective burden for many Ohioans.
Key Tax Rates
| Tax Type | Rate / Status |
|---|---|
| Income Tax | 3.75% (top, flat) |
| No Income Tax | No |
| Sales Tax | 5.75% (+local up to 8%) |
| No Sales Tax | No |
| Corporate Tax | No — CAT (Commercial Activity Tax) |
| Property Tax Rank | #41 nationally (1=highest) |
| Overall Tax Burden Rank | #29 nationally (1=highest) |
Political Context
Ohio Republicans cut income taxes repeatedly. The Commercial Activity Tax (CAT) on gross receipts is criticized by businesses as taxing revenue rather than profit. Ohio voters passed casino tax revenue for education. Tax policy is intertwined with school funding equity issues.