Minnesota (MN) Tax Rates — 2026
Income Tax
9.85%
Sales Tax
7.475%
Property Tax
1.05%
Income Tax
Type: Graduated (marginal brackets)
| From | To | Rate |
|---|---|---|
| $0 | $31,690 | 5.35% |
| $31,690 | $104,090 | 6.8% |
| $104,090 | $183,340 | 7.85% |
| $183,340 | and above | 9.85% |
Standard Deduction: Single: $14,575 | Married Filing Jointly: $29,150
Sales Tax
State Rate6.875%
Avg Local Rate0.6%
Combined Rate7.475%
Groceries: Exempt
+0.90% vs national avg
Property Tax
Effective Rate1.05%
Median Annual Tax$2,767
-0.02% vs national avg (1.07%)
Retirement Income Tax
Social SecurityYES
PensionsFULLY TAXED
401(k) / IRAYES
Estate & Inheritance Tax
Has Estate Tax: YES
Exemption$3,000,000
Top Rate16%
Corporate Tax
Corporate Income Tax Rate: 9.8%
Additional Notes
Minnesota is one of the highest income tax states. It taxes Social Security benefits (with a partial subtraction available). Has a state estate tax with one of the lower exemption thresholds.
Compare with another state:
Sources: Minnesota Department of Revenue; Tax Foundation, Facts & Figures 2025; IRS Publication 17.