North Carolina Tax Calculators.
Tax year 2026 income tax rates, brackets, and sales tax for North Carolina. Returns for tax year 2026 are generally filed in 2027; source links and last-verified dates are shown below.Tax year 2026 means income earned during calendar year 2026; those returns are generally filed in 2027. State and local sales tax rates can change during the year, so confirm current rules before filing or remitting tax.
Income Tax
North Carolina levies a flat income tax of 3.99% on taxable income for 2026. The standard deduction is $12,750 for single filers and $25,500 for joint filers.
Sales Tax
Groceries (unprepared food) are exempt from state tax. Prescription drugs are exempt.
North Carolina's 4.5% flat rate is below the national average and continues to decrease. Combined with moderate property taxes, NC has become more tax-competitive.
What is North Carolina's income tax rate?
North Carolina levies a flat income tax of 3.99% on taxable income for 2026.
What is the sales tax in North Carolina?
North Carolina's state sales tax is 4.75%. With local taxes, the average combined rate is about 6.98%.
Does North Carolina tax retirement income?
Social Security is exempt. Other retirement income (pensions, 401k, IRA) is fully taxable in North Carolina.