Rhode Island Tax Overview
Rhode Island has a three-bracket progressive income tax with a top rate of 5.99%, which is moderate for the Northeast. The state partially taxes Social Security benefits based on income thresholds and has been working to reduce its tax burden to remain competitive with neighboring states. Rhode Island has a 7% sales tax, among the highest in New England.
Rhode Island Tax Quick Facts (2026)
| Income Tax | progressive (top rate: 6.0%) |
| Sales Tax (State) | 7.00% |
| Property Tax (Avg Effective) | 1.39% |
| Median Household Income | $74,008 |
| Capital | Providence |
| Population | 1.1 million |
Rhode Island Income Tax Brackets (2026)
| Income Range | Tax Rate |
|---|---|
| $0 — $73,450 | 3.75% |
| $73,450 — $166,950 | 4.75% |
| $166,950+ | 5.99% |
Frequently Asked Questions About Rhode Island Taxes
Does Rhode Island have a state income tax?+
Yes, Rhode Island has a progressive income tax system with a top marginal rate of 6.0%.
What is the property tax rate in Rhode Island?+
The average effective property tax rate in Rhode Island is approximately 1.39% of assessed home value. On a $300,000 home, that is about $4,170 per year.
What is the sales tax rate in Rhode Island?+
The state sales tax rate in Rhode Island is 7.00%. Local jurisdictions may add additional sales tax.
What is the median household income in Rhode Island?+
The median household income in Rhode Island is approximately $74,008 per year.
How does Rhode Island's tax burden compare to other states?+
Rhode Island's total tax burden depends on income tax, property tax, and sales tax combined. Use the calculator above to compare your specific situation.
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James Whitfield, CPA, MST
James Whitfield is a Certified Public Accountant with a Master of Science in Taxation. He specializes in US federal and state tax calculations and ensures all tax-related tools meet current IRS guidelines. Last updated: April 2026. Uses 2026 tax year data from state revenue departments and IRS publications.