Pennsylvania state income tax rate 2027

One rate for everyone

The Pennsylvania Department of Revenue states that personal income tax "is levied at the rate of 3.07 percent against taxable income of resident and nonresident individuals, estates, trusts, partnerships, S corporations, business trusts and limited liability companies not federally taxed as corporations." There are no brackets, so the projected 2027 rate is the same 3.07% whether you earn $30,000 or $300,000. The rate is fixed in the Tax Reform Code rather than scheduled to step down, and the sources read for this page show no enacted 2027 change; the figure is labelled projected because a later session could still change it.

No standard deduction, no personal exemption

Most states subtract a standard deduction or exemptions before applying the rate. Pennsylvania does not: Tax Foundation's 2026 table lists "n.a." for the standard deduction, the personal exemption and the dependent exemption. For a worker whose income is wages, the effective rate is therefore very close to 3.07% of what the employer reports as compensation. Items the department treats separately are not modelled here.

Worked example

$75,000 of wages with no deduction: 3.07% is $2,302.50 for the year, $88.56 over 26 pay periods. A couple earning $120,000 in wages owes $3,684.00, because joint filing and dependents do not change the taxable amount. Compare that with a state that uses brackets and a standard deduction, where the same wages produce a lower effective rate.

The local tax is the part people miss

The 3.07% is only the state's share. Most Pennsylvania municipalities and school districts levy a local earned income tax of their own, collected through your employer's withholding, and many workers also pay a small Local Services Tax. The state tax figure on this page does not include any of it. The Pennsylvania PSD code and EIT rate checker explains how the resident and work-location rates are chosen, and the Pennsylvania paycheck calculator puts both layers on a pay stub.

Who this is for, and what it does not cover

It is for employees and planners estimating Pennsylvania state income tax on wages for 2027. It does not cover local income taxes, tax credits, retirement or investment income, self-employment tax, federal income tax or payroll taxes, and it does not file or submit anything. The result changes if you enter a different rate, so use the rate box when the state announces a final 2027 figure.

FAQ

What is the Pennsylvania state income tax rate for 2027?

Pennsylvania levies a flat 3.07% on taxable income. The Department of Revenue states the rate as 3.07 percent, and no enacted change for 2027 appears in the sources read for this page.

Is Pennsylvania income tax graduated?

No. There is one rate, 3.07%, for residents and nonresidents alike, so earning more does not move you into a higher state bracket.

Does Pennsylvania have a standard deduction?

No. Tax Foundation's 2026 state table shows no standard deduction, personal exemption or dependent exemption for Pennsylvania.

Does the 3.07% include local income tax?

No. Municipalities and school districts add a local earned income tax, and some workers pay a Local Services Tax. Those are separate from the state rate.

Will Pennsylvania cut its income tax rate in 2027?

No cut is scheduled in the sources read. The rate sits in state law at 3.07%, so a change would need a new act of the General Assembly.

Is this my final 2027 Pennsylvania tax?

No. It is a projection from the rate in effect on November 1, 2026. Credits, adjustments and local taxes are not included.

Sources

Retrieved 2026-11-01. Each link was opened and checked against the claim next to it; where a page blocks automated readers a dated archive copy is named.

• Pennsylvania Department of Revenue: personal income tax: The 3.07 percent rate and the taxpayers it applies to.
• Tax Foundation: State Individual Income Tax Rates and Brackets, 2026: No standard deduction or exemption for Pennsylvania as of February 2026.