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The Seller’s Tax Map: What Selling a Business Costs in Every State (2026)

What the federal government and each state take when an owner sells company stock for a long-term gain, computed from official 2026 rate schedules for all 50 states and the District of Columbia.

Laurent Capital Research | Updated | 51 jurisdictions | Tax year 2026
Desk with financial statements and a calculator

Key findings

  • California takes the most. On a $25 million long-term gain, a California resident owes about $9.28M in combined federal and state tax, an effective 37.1%, against $5.95M (23.8%) in Texas, Florida, Nevada or any other state that does not tax the gain: a gap of $3.33M. At $50 million the gap is $6.65M.
  • Nine states take nothing from the gain: the eight without a broad income tax (Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas and Wyoming) and Missouri, which has let individuals deduct all capital gains since 2025. Owners there pay only the 23.8% federal rate.
  • The five most expensive places to sell are California, Minnesota, the District of Columbia, New Jersey and New York. Each takes at least 10.3% of the gain in state tax, on top of the 23.8% federal rate.
  • Having no income tax does not mean no tax on a sale. Washington’s capital gains excise tax of 7%, rising to 9.9% above $1 million, puts it 7th of 51 on a $25 million gain, ahead of Massachusetts, unless the sale qualifies for its family-owned small business deduction.
  • Above $10 million, Arkansas is the cheapest state that taxes the gain: it taxes half of the first $10 million and exempts the rest, so its tax stops at $185,000 however large the sale.
  • Local taxes can push the total past California. A New York City resident with a $50 million gain faces about 38.6% once the city’s 3.876% is added; Portland residents subject to the Metro and Multnomah County taxes add up to 4%.
  • At least eleven states cut their top rate for 2026, including Georgia (to 4.99%), South Carolina (5.21%), Kentucky (3.5%) and Nebraska (4.55%). Maine moved the other way with a 2% surcharge on income over $1 million.
$3.33M
Extra tax in California versus Texas on a $25M gain
37.1%
Top combined rate (California)
9
States that do not tax the gain
23.8%
Federal rate on the gain, in every state

The 15 most expensive states to sell in

Combined federal and state tax as a share of a $25 million long-term gain. Federal tax is the same everywhere at 23.8%; the rest of each bar is the state.

Combined federal and state tax rate on a $25M gain, top 15
California37.1%Minnesota34.6%District of Columbia34.5%New Jersey34.5%New York34.1%Oregon33.7%Washington33.5%Maine32.9%Massachusetts32.6%Vermont32.4%Maryland32.3%Hawaii31.1%Connecticut30.8%Delaware30.4%Rhode Island29.8%

Laurent Capital Research from official state and IRS sources, tax year 2026. Top marginal rates, net investment income tax applied, local taxes excluded.

Seller’s tax calculator

Estimate federal and state tax on a stock sale and what is left before fees and debt.

$
$

What you paid for the shares plus capital contributed (S corps: adjusted for earnings and distributions).

Long-term capital gain
$25,000,000
Federal capital gains tax (20%)
$5,000,000
Net investment income tax (3.8%)
$950,000
California tax
$3,325,000
Taxable gain at 13.3%
$3,325,000
Total tax
$9,275,000
Effective rate on the gain
37.10%
Net proceeds after tax
$15,725,000

Illustration, not tax advice. Assumes a resident individual, the whole gain long-term, top marginal rates, no state credits, installment terms, QSBS exclusion or other planning, and no local taxes. Net proceeds are before transaction fees, debt repayment, escrows and earn-outs. Rates are for tax year 2026 where published; see the methodology.

All 50 states and DC

Click a column to sort. Each state links to a page with its worked examples, the rules behind the number and its official sources.

Estimated tax on a long-term gain from selling company stock, by state of residence (2026)
California13.3%Ordinary income$1,330,000$3,325,000$6,650,00037.10%$15,725,000
Minnesota9.85%Ordinary income, plus 1% NII tax over $1M$1,075,000$2,702,500$5,415,00034.61%$16,347,500
District of Columbia10.75%Ordinary income$1,075,000$2,687,500$5,375,00034.55%$16,362,500
New Jersey10.75%Ordinary income$1,075,000$2,687,500$5,375,00034.55%$16,362,500
New York10.9%Ordinary income, with recapture$1,030,000$2,575,000$5,450,00034.10%$16,475,000
Oregon9.9%Ordinary income$990,000$2,475,000$4,950,00033.70%$16,575,000
WashingtonNoneCapital gains excise tax: 7%, 9.9% over $1M$933,478$2,418,478$4,893,47833.47%$16,631,522
Maine9.15%Ordinary income, plus 2% surcharge over $1M$895,000$2,267,500$4,555,00032.87%$16,782,500
Massachusetts9%5%, plus 4% surtax over $1.1M$855,690$2,205,690$4,455,69032.62%$16,844,310
Vermont8.75%40% excluded, capped at $350,000$844,375$2,156,875$4,344,37532.43%$16,893,125
Maryland6.5%Ordinary income, plus 2% capital gains tax$850,000$2,125,000$4,250,00032.30%$16,925,000
Hawaii11%7.25% maximum rate on gains$725,000$1,812,500$3,625,00031.05%$17,237,500
Connecticut6.99%Ordinary income, with recapture$699,000$1,747,500$3,495,00030.79%$17,302,500
Delaware6.6%Ordinary income$660,000$1,650,000$3,300,00030.40%$17,400,000
Rhode Island5.99%Ordinary income$599,000$1,497,500$2,995,00029.79%$17,552,500
New Mexico5.9%40% of up to $1M deducted on a business sale$566,400$1,451,400$2,926,40029.61%$17,598,600
Virginia5.75%Ordinary income$575,000$1,437,500$2,875,00029.55%$17,612,500
Kansas5.58%Ordinary income$558,000$1,395,000$2,790,00029.38%$17,655,000
Wisconsin7.65%30% excluded$535,500$1,338,750$2,677,50029.15%$17,711,250
Idaho5.3%Ordinary income$530,000$1,325,000$2,650,00029.10%$17,725,000
Georgia4.99%Ordinary income$499,000$1,247,500$2,495,00028.79%$17,802,500
Illinois4.95%Ordinary income$495,000$1,237,500$2,475,00028.75%$17,812,500
West Virginia4.58%Ordinary income$458,000$1,145,000$2,290,00028.38%$17,905,000
Nebraska4.55%Ordinary income$455,000$1,137,500$2,275,00028.35%$17,912,500
Oklahoma4.5%Ordinary income (100% deduction for Oklahoma companies)$450,000$1,125,000$2,250,00028.30%$17,925,000
Utah4.45%Ordinary income$445,000$1,112,500$2,225,00028.25%$17,937,500
Colorado4.4%Ordinary income$440,000$1,100,000$2,200,00028.20%$17,950,000
Michigan4.25%Ordinary income$425,000$1,062,500$2,125,00028.05%$17,987,500
Montana5.65%Separate 3.0% / 4.1% rates on gains$410,000$1,025,000$2,050,00027.90%$18,025,000
Mississippi4%Ordinary income (exclusion for Mississippi companies)$400,000$1,000,000$2,000,00027.80%$18,050,000
North Carolina3.99%Ordinary income$399,000$997,500$1,995,00027.79%$18,052,500
Alabama5%Ordinary income; federal tax deductible$381,000$952,500$1,905,00027.61%$18,097,500
Iowa3.8%Ordinary income$380,000$950,000$1,900,00027.60%$18,100,000
Kentucky3.5%Ordinary income$350,000$875,000$1,750,00027.30%$18,175,000
Pennsylvania3.07%Ordinary income$307,000$767,500$1,535,00026.87%$18,282,500
Louisiana3%Ordinary income$300,000$750,000$1,500,00026.80%$18,300,000
Ohio2.75%Business income: $250,000 deducted, then 3%$292,500$742,500$1,492,50026.77%$18,307,500
Indiana2.95%Ordinary income, plus county tax$295,000$737,500$1,475,00026.75%$18,312,500
South Carolina5.21%44% deducted$291,760$729,400$1,458,80026.72%$18,320,600
Arizona2.5%25% subtracted (assets acquired after 2011)$187,500$468,750$937,50025.67%$18,581,250
North Dakota2.5%40% excluded$150,000$375,000$750,00025.30%$18,675,000
Arkansas3.7%50% excluded; gain over $10M exempt$185,000$185,000$185,00024.54%$18,865,000
AlaskaNoneNo income tax$0$0$023.80%$19,050,000
FloridaNoneNo income tax$0$0$023.80%$19,050,000
Missouri4.7%Fully deducted since 2025$0$0$023.80%$19,050,000
NevadaNoneNo income tax$0$0$023.80%$19,050,000
New HampshireNoneNo income tax$0$0$023.80%$19,050,000
South DakotaNoneNo income tax$0$0$023.80%$19,050,000
TennesseeNoneNo income tax$0$0$023.80%$19,050,000
TexasNoneNo income tax$0$0$023.80%$19,050,000
WyomingNoneNo income tax$0$0$023.80%$19,050,000

Combined rate includes federal 20% capital gains tax and 3.8% net investment income tax (23.8%). Net proceeds assume zero basis and are before fees and debt. Combined rates range from 23.8% to 37.1% at $25M.

Download the data (CSV)

One row per state and DC, with the official source URLs for each row. Free to reuse with attribution (CC BY 4.0).

The federal layer

Federal tax is identical in every state. Long-term capital gains are taxed at 0%, 15% or 20% depending on taxable income, and for 2026 the 20% rate starts above $545,500 of taxable income for single filers and $613,700 for married couples filing jointly. On an eight-figure gain, practically all of it is taxed at 20%.

On top of that sits the 3.8% net investment income tax, which applies to the lesser of net investment income or modified adjusted gross income above $200,000 (single) or $250,000 (joint). These thresholds are fixed in the statute and not indexed for inflation. Together the two produce the 23.8% federal rate used throughout this report.

When the 3.8% applies to an owner’s stock sale

  • C corporation stock: the gain is net investment income whether or not the owner works in the business. The 3.8% applies.
  • S corporation stock and partnership or LLC interests: Section 1411(c)(4) treats the gain as investment income only to the extent it would have been if the entity had sold its assets. An owner who materially participates in an operating business can generally exclude the part of the gain attributable to that business’s assets; investment assets and excess cash stay in the base. The computation follows proposed regulation 1.1411-7, which taxpayers may rely on, and is reported on Form 8960.
  • Passive owners of an S corporation or partnership get no exclusion and pay the 3.8%.
Federal figures used in this report (tax year 2026)
ItemSingleMarried filing jointly
0% long-term gains rate, taxable income up to$49,450$98,900
15% rate, taxable income up to$545,500$613,700
20% rate, taxable income above$545,500$613,700
37% ordinary rate, taxable income above$640,600$768,700
3.8% net investment income tax, MAGI above$200,000$250,000

Source: IRS Rev. Proc. 2025-32; 26 U.S.C. 1(h) and 1411.

State tax gives little federal relief at this income level. The 2026 cap on the itemized deduction for state and local taxes is $40,400, but it phases down for modified adjusted gross income above $505,000 to a floor of $10,000, which is where every seller in this report lands.

States that treat the gain differently

Rules applied in our numbers

These states either tax long-term gains more lightly than wages or add a tax aimed at high incomes or capital gains. Every seller who meets the holding period gets the treatment, so the examples include it.

  • AlabamaOrdinary income; federal tax deductible (top income tax rate 5%)
  • Arizona25% subtracted (assets acquired after 2011) (top income tax rate 2.5%)
  • Arkansas50% excluded; gain over $10M exempt (top income tax rate 3.7%)
  • Hawaii7.25% maximum rate on gains (top income tax rate 11%)
  • MaineOrdinary income, plus 2% surcharge over $1M (top income tax rate 9.15%)
  • MarylandOrdinary income, plus 2% capital gains tax (top income tax rate 6.5%)
  • Massachusetts5%, plus 4% surtax over $1.1M (top income tax rate 9%)
  • MinnesotaOrdinary income, plus 1% NII tax over $1M (top income tax rate 9.85%)
  • MissouriFully deducted since 2025 (top income tax rate 4.7%)
  • MontanaSeparate 3.0% / 4.1% rates on gains (top income tax rate 5.65%)
  • New Mexico40% of up to $1M deducted on a business sale (top income tax rate 5.9%)
  • North Dakota40% excluded (top income tax rate 2.5%)
  • OhioBusiness income: $250,000 deducted, then 3% (top income tax rate 2.75%)
  • South Carolina44% deducted (top income tax rate 5.21%)
  • Vermont40% excluded, capped at $350,000 (top income tax rate 8.75%)
  • WashingtonCapital gains excise tax: 7%, 9.9% over $1M
  • Wisconsin30% excluded (top income tax rate 7.65%)

Relief that depends on the facts of the sale

Several states exempt part or all of a business-sale gain only when the company is organized or headquartered in the state, stays under a revenue ceiling, or meets ownership tests. The examples do not apply these, because many lower-middle-market companies would not qualify. An owner who does qualify can pay far less than the table shows.

Oklahoma
Oklahoma allows a 100% deduction of qualifying net capital gain (68 O.S. 2358; Form 561) on the sale of stock or an ownership interest in an Oklahoma company, LLC or partnership owned for at least two uninterrupted years. It also covers the sale of substantially all assets of such a business held for two years. An 'Oklahoma company' must have had its primary headquarters in Oklahoma for at least three uninterrupted years before the sale. A founder selling an Oklahoma-headquartered company would typically qualify and owe no Oklahoma tax on the gain; a company headquartered elsewhere does not qualify.
Mississippi
Miss. Code §27-7-9(f)(10): no gain is recognized on selling authorized shares of financial institutions domiciled in Mississippi and of domestic (Mississippi-organized) corporations, or interests in domestic LPs and LLCs, held more than one year. The excluded gain must first be reduced by losses on qualifying transactions in the year of the gain or the two years before or after. A founder selling a Mississippi-incorporated company would typically owe no Mississippi tax on the gain; a Delaware-incorporated company would not qualify.
Ohio
From tax year 2026, ORC 5747.79 allows a deduction equal to the lesser of the capital gain or 'deductible payroll' when the seller materially participated for the five years before the sale and the company was organized and headquartered in Ohio for those five years. Deductible payroll is the company's Ohio-withholding payroll over the prior five calendar years, excluding pay to the seller and close family, times the percentage of the company sold. For an Ohio-headquartered lower-middle-market company with real payroll, this can remove much or all of the gain from tax. Passive holders who did not materially participate are instead taxed at 2.75% as nonbusiness income. HB 617, a full capital gains exemption, was introduced in Dec 2025 and is still in House committee.
Washington
RCW 82.87.070 deducts all gain from selling at least 90% of a qualified family-owned small business's assets, or the taxpayer's interest in one. Conditions: the taxpayer held a qualifying interest for at least 5 years before the sale; the taxpayer or family materially participated (IRC 469 standard) for at least 5 of the 10 prior years (not required for sales to family); and worldwide gross revenue was no more than $10M (indexed: $11,095,000 for 2025) in the 12 months before the sale. A qualifying interest is a sole proprietorship or at least 50% family ownership, or at least 30% with 2 families holding 70% or 3 families holding 90%. It covers many founder-owned lower-middle-market sales, but not companies with revenue above about $11M or minority/investor holders. Gain directly attributable to real estate owned by the entity is exempt under RCW 82.87.050.
Nebraska
A one-time lifetime election (Neb. Rev. Stat. 77-2715.08 and 77-2715.09) lets a resident subtract the entire capital gain on stock of one corporation acquired on account of employment or while employed by it. The corporation must have done business in Nebraska for at least three years and, at the first sale, have at least five shareholders and at least two unrelated shareholders (or groups) each owning at least 10%. A founder who owns most of the company alone would usually fail the shareholder test; a company with several unrelated co-owners or an ESOP may qualify.
Iowa
Two narrow deductions remain. (1) Capital stock election (IA 100J): a one-time lifetime election to deduct 100% (from 2025) of gain on stock of one corporation, but only stock acquired on account of employment. Stock received at formation for a capital contribution does not qualify, and the corporation must have had Iowa employees, at least five shareholders and at least two unrelated shareholder groups for the prior 10 years. (2) Farm real property, breeding livestock and retired-farmer sales. A founder selling their own company usually does not qualify.
Utah
Utah Code 59-10-1022 gives a nonrefundable credit equal to the gain times the 4.45% rate if at least 70% of the gross sale proceeds are used within 12 months to buy newly issued stock in a Utah small business corporation (Sec. 1244-type, $2.5M capital limit, Utah commercial domicile) in which the seller held no prior interest. A typical founder exit rarely qualifies.
Idaho
Idaho Code 63-3022H gives a 60% deduction for gain on Idaho-situs qualified property: real property held 12 months, tangible personal property used in Idaho for 12 months by a revenue-producing enterprise (manufacturing, processing, wholesale distribution, etc.), certain livestock and timber, and partnership interests only to the extent the gain comes from qualified real property. It can reach part of an S corp or partnership asset sale (flow-through gain on real estate or qualifying equipment), but not goodwill, other intangibles or a stock sale.

State pages

Frequently asked questions

Does the 3.8% net investment income tax apply when I sell my own company?

It depends on the entity. Gain on C corporation stock is net investment income even if you run the company, so the 3.8% applies. For S corporation stock and partnership or LLC interests, Section 1411(c)(4) lets an owner who materially participates exclude the share of the gain attributable to the operating business’s assets; investment assets and excess cash remain taxable. Passive owners pay the full 3.8%.

Can I avoid state tax by moving to a state without an income tax before I sell?

States tax residents on all of their income, and gain on the sale of stock is generally taxed by the state where the seller is domiciled. A genuine change of domicile completed before the sale can therefore change which state taxes the gain. States with high rates audit late moves closely and look at where you live, work, keep family and belongings, and how long you stay. Gain from an asset sale, or from an interest in a pass-through entity, can still be taxed by the states where the business operates. Plan a move with tax counsel well ahead of a signed letter of intent.

Is an asset sale taxed the same way as a stock sale?

No. In an asset sale the character of the gain follows each asset: depreciation recapture on equipment is taxed at ordinary rates, while goodwill is usually capital gain. In a C corporation an asset sale is taxed at the corporate level and again when proceeds are distributed. Pass-through gains are usually apportioned to the states where the business operates, so a seller can owe tax to more than one state. This report models the simpler case of a stock sale.

How does the qualified small business stock exclusion change these numbers?

Section 1202 can exclude federal tax on gain from qualifying C corporation stock acquired at original issue. For stock acquired after July 4, 2025 the exclusion is 50%, 75% or 100% after three, four or five years, capped at the greater of $15 million or ten times basis per issuer; earlier stock keeps a $10 million cap and a five-year holding period. S corporation stock and LLC interests never qualify, and states decide separately whether to follow the federal exclusion. Our figures assume no QSBS exclusion.

Why are local income taxes left out?

Most local income taxes fall on wages or business income rather than a resident’s capital gains, and the few that reach capital gains vary by city or county within a state. Where a local tax does reach the gain, such as New York City (3.876%), the Portland-area Metro and Multnomah County taxes (up to 4% combined), Maryland’s county taxes (2.25% to 3.3%), Indiana’s county taxes, Detroit (2.4%) or some Ohio school districts, the state page and the calculator show it separately so the state comparison stays like for like.

Which tax year do the figures cover?

Tax year 2026, using rates and thresholds published by each state’s revenue department or set in statute. Where a state had not published a 2026 figure at the time of research, we used the 2025 figure and flag it on that state’s page and in the CSV.

Methodology and sources

Laurent Capital Research compiled this dataset from public sources retrieved on October 26, 2026. For each state and the District of Columbia we read the revenue department’s published rate schedules, tax tables, form instructions or rate announcements for tax year 2026, and the governing statute where the department’s material was silent. Where a state had not yet published 2026 figures we used 2025 and say so on that state’s page and in the CSV. Tax Foundation’s state rate tables served only as an independent cross-check; every disagreement was resolved in favor of the official source. Each row of the CSV carries its source URLs.

The worked examples model one situation: a resident individual, filing single, sells stock in a privately held company held for more than a year. The sale price equals the gain (zero basis). Every dollar of gain is taxed at the top marginal rate that applies at that income level. Federal tax is 20% on long-term gain plus the 3.8% net investment income tax, applied to the whole gain; for a single seller with no other income this overstates federal tax by roughly $45,000, because the first part of the gain falls in the 0% and 15% brackets and below the net investment income tax threshold. State brackets below the top rate are ignored in the same way. State tax applies any general capital gains exclusion, deduction, alternative rate or exemption that a typical seller receives without special conditions, plus capital-gains-specific taxes and surtaxes. Relief that depends on facts such as in-state incorporation or headquarters, ownership tests or a revenue ceiling is described on the state pages but is not included in the numbers. Three judgment calls are worth stating: Alabama’s deduction for federal income tax paid is applied; New Mexico’s deduction of 40% of up to $1 million of gain from the sale of a business is applied; and Ohio gain is treated as business income (the first $250,000 deducted, the rest taxed at 3%), which is how Ohio classifies an owner who materially participated. Arizona’s 25% subtraction assumes the shares were acquired after 2011.

A few 2026 figures were not yet published when we compiled the data, so the 2025 amounts are used: Washington’s capital gains standard deduction ($278,000), Vermont’s and North Dakota’s bracket thresholds, and Nebraska’s schedule, which was still a draft. None of these changes the examples by more than a few thousand dollars. Several states changed rates during 2026 after Tax Foundation published its table (among them Georgia, South Carolina, Arkansas, Utah and West Virginia, which cut rates, and Maine, which added a surcharge); we use the enacted law in each case.

Not modeled: the federal deduction for state taxes (capped at $10,000 for incomes at this level), the alternative minimum tax, Section 1202 qualified small business stock exclusions, installment sales, opportunity zone deferral, trusts, charitable planning, credits for taxes paid to other states, part-year residency, asset sales and depreciation recapture, and local income taxes. Where a local tax reaches capital gains at a notable rate, such as New York City, Portland and Multnomah County, Maryland’s counties or Detroit, the state page says so and the calculator shows it separately.

  1. 1IRS, Rev. Proc. 2025-32: 2026 inflation adjustments, including amendments from the One Big Beautiful Bill
  2. 2IRS, IR-2025-103: tax inflation adjustments for tax year 2026
  3. 326 U.S.C. 1(h): maximum capital gains rate
  4. 426 U.S.C. 1411: net investment income tax, including 1411(c)(4)
  5. 5IRS, Questions and answers on the net investment income tax
  6. 6IRS, Instructions for Form 8960 (line 5c)
  7. 7Treas. Reg. 1.1411-4 (eCFR)
  8. 8Proposed Treas. Reg. 1.1411-7, 78 FR 72451 (Dec. 2, 2013)
  9. 926 U.S.C. 164(b)(6)-(7): state and local tax deduction cap as amended in 2025
  10. 1026 U.S.C. 1202: qualified small business stock as amended in 2025
  11. 11Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 (cross-check only)
  12. 12Tax Foundation, State Tax Changes Taking Effect January 1, 2026 (cross-check only)
  13. 13Alabama: Alabama DOR FAQ: individual income tax rates
  14. 14Alaska: Tax Foundation, State Individual Income Tax Rates and Brackets, 2026
  15. 15Arizona: ADOR 2026 Form 140ES booklet (2.5% rate for 2026)
  16. 16Arkansas: Arkansas House: Tax cuts passed in special session (Acts 1 and 2, top rate 3.7% from Jan 1, 2026)
  17. 17California: FTB Tax News, October 2026: 2026 Indexing (2026 tax rate schedules)
  18. 18Colorado: Colorado DOR DR 0104EP 2026 estimated tax worksheet (4.4%)
  19. 19Connecticut: CGS 12-700 (rates and recapture for taxable years from Jan 1, 2024)
  20. 20Delaware: 30 Del. C. 1102 (rates, Delaware Code Online)
  21. 21District of Columbia: DC OTR individual and fiduciary income tax rates
  22. 22Florida: Florida Constitution, Art. VII, s. 5 (Estate, inheritance and income taxes)
  23. 23Georgia: HB 463 (AS PASSED HOUSE AND SENATE), amending O.C.G.A. 48-7-20(a.1)
  24. 24Hawaii: HRS 235-51 (rate schedules and capital gains alternative tax, subsection (f))
  25. 25Idaho: Idaho Code 63-3024 (individual rate 5.3%)
  26. 26Illinois: Illinois DOR, Income tax rates
  27. 27Indiana: Indiana DOR Departmental Notice #1 (effective Oct. 1, 2026): state rate 2.95% and county rates
  28. 28Iowa: Iowa DOR press release, 2026 individual income tax and interest rates
  29. 29Kansas: K.S.A. 79-32,110 (individual rate schedules)
  30. 30Kentucky: Kentucky DOR, Employer Payroll Withholding ('withholding tax rate will be 3.5% for tax year 2026')
  31. 31Louisiana: LDR FAQ: What are the individual income tax rates and brackets?
  32. 32Maine: Maine Revenue Services, 2026 Individual Income Tax Rates (revised May 20, 2026)
  33. 33Maryland: Maryland Comptroller Technical Bulletin 58 (Dec 29, 2025): additional 2% tax on net capital gain
  34. 34Massachusetts: Mass. DOR, Massachusetts Tax Rates
  35. 35Michigan: Michigan Treasury: State individual income tax rate for 2026 tax year determined (Apr 15, 2026)
  36. 36Minnesota: MN DOR, 2026 income tax brackets, standard deduction and dependent exemption
  37. 37Mississippi: MS DOR, Individual income tax rates
  38. 38Missouri: RSMo 143.121 (subsection 3(14): 100% capital gain subtraction)
  39. 39Montana: MCA 2025 15-30-2103, rate of tax: net long-term capital gains (temporary 2026 version and 2027 version)
  40. 40Nebraska: Neb. Rev. Stat. 77-2715.03 (rates by year)
  41. 41Nevada: Nevada Constitution, Art. 10, Sec. 1(9)
  42. 42New Hampshire: NH DRA, Interest and Dividends Tax page (repeal)
  43. 43New Jersey: NJ Division of Taxation tax rate tables page (schedule for 2020 and after)
  44. 44New Mexico: NM HB 252 (2024) as enacted: Sec. 7-2-7 rate tables, Sec. 7-2-34 capital gains deduction, Sec. 42 applicability
  45. 45New York: NY Tax Law 601 (rate schedules 2026-2027 and supplemental tax d-5), revision 2025-07-11
  46. 46North Carolina: N.C.G.S. 105-153.7 (individual income tax rate)
  47. 47North Dakota: N.D.C.C. 57-38-30.3 (rate schedules and 40% long-term capital gain exclusion, subsection 2(d))
  48. 48Ohio: Ohio Revised Code 5747.02 (rates; 2026 flat 2.75%, business income 3%)
  49. 49Oklahoma: Oklahoma Enrolled HB 2764 (2025), amending 68 O.S. 2355 rates for tax year 2026
  50. 50Oregon: ORS 316.037 (rate schedule; top bracket not indexed)
  51. 51Pennsylvania: Pennsylvania Department of Revenue, tax rates (PIT 3.07%; CNIT 7.49% for 2026)
  52. 52Rhode Island: RI Division of Taxation ADV 2025-22, Inflation-adjusted amounts set for Tax Year 2026
  53. 53South Carolina: SC General Assembly, H.4216 / Act No. 110 (2026), amending 12-6-510
  54. 54South Dakota: South Dakota Department of Revenue, individual taxes
  55. 55Tennessee: Tennessee Department of Revenue, Hall Income Tax (repealed for periods beginning Jan 1, 2021)
  56. 56Texas: Texas Comptroller, Franchise tax (rates and 2026 no-tax-due threshold)
  57. 57Utah: Utah Code 59-10-104 (effective 1/1/2026, amended 2026 GS ch. 250)
  58. 58Vermont: Vermont Department of Taxes, 2025 Rate Schedules
  59. 59Virginia: Va. Code 58.1-320 (individual income tax rates)
  60. 60Washington: RCW 82.87.040 Tax imposed (7%; additional 2.9% over $1,000,000)
  61. 61West Virginia: West Virginia Legislature, Enrolled CS for SB 392 (2026), adding 11-21-4j
  62. 62Wisconsin: Wis. Stat. 71.06 (rates; sub. (1r) for years after 2024)
  63. 63Wyoming: Wyoming Department of Revenue (divisions: excise, mineral, property tax)

Data last updated October 26, 2026.

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Laurent Capital Research, “The Seller’s Tax Map: What Selling a Business Costs in Every State (2026),” 2026, https://laurent.capital/research/seller-tax-map

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<a href="https://laurent.capital/research/seller-tax-map">The Seller’s Tax Map: What Selling a Business Costs in Every State (2026)</a> (Laurent Capital)

This report is general information compiled by Laurent Capital Research from public sources. It is not tax, legal or investment advice, and simplified illustrations will differ from any actual return. Consult your own tax advisors before acting. See our Important Disclosures.

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