Illinois vs Iowa Taxes: Income, Property & Sales

Does Illinois or Iowa have lower taxes? We answer that in a variety of ways below:

Illinois vs Iowa Income Tax Comparison

	Illinois	Iowa
Income Tax Rates & Thresholds	4.95%	0.33%: $0-$1,743 0.67%: $1,744-$3,486 2.25%: $3,487-$6972 4.14%: $6,973-$15,687 5.63%: $15,688-$26,145 5.96%: $26,146-$34,860 6.25%: $34,861-$52,290 7.44%: $52,291-$78,435 8.53%: $78,436+
Median Income	$78,020	$76,320
Income Tax Paid On Median Household Income	$13,677	$13,833
Income After Tax Based on Median Household Income	$64,343	$62,487

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Illinois vs Iowa Property Tax Comparison

	Illinois	Iowa
Average Property Tax Rate	1.78%	1.25%
Average House Price By State	$254,128	$215,458
Average Property Tax Owed Per Year	$4,523	$2,693
Income After Income Taxes & Property Taxes Based On Median State Household Income	$59,820	$59,794

Illinois vs Iowa Sales Tax Comparison

	Illinois	Iowa
Average State Sales Tax	6.25%	6.00%
Average Local Sales Tax Across the State	2.56%	0.94%
Average Combined Sales Tax Rate	8.81%	6.94%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$4,843	$3,880
Maximum Disposable Income Based on Median Household Income	$54,976	$55,913

After Tax Comparison Earning $40,000 Per Year Filing As Single

	Illinois	Iowa
Income Tax Owed	$4,903	$4,786
After Tax Income	$35,097	$35,214
Income After Income & Property Tax	$30,574	$32,521
Maximum Disposable Income After Income, Property & Sales Taxes	$28,098	$30,410

After Tax Comparison Earning $60,000 Per Year Filing As Single

	Illinois	Iowa
Income Tax Owed	$8,820	$9,028
After Tax Income	$51,180	$50,972
Income After Income & Property Tax	$46,657	$48,279
Maximum Disposable Income After Income, Property & Sales Taxes	$42,879	$45,146

After Tax Comparison Earning $80,000 Per Year Filing As Single

	Illinois	Iowa
Income Tax Owed	$14,210	$14,916
After Tax Income	$65,790	$65,084
Income After Income & Property Tax	$61,267	$62,391
Maximum Disposable Income After Income, Property & Sales Taxes	$56,306	$58,342

After Tax Comparison Earning $100,000 Per Year Filing As Single

	Illinois	Iowa
Income Tax Owed	$19,600	$21,015
After Tax Income	$80,400	$78,985
Income After Income & Property Tax	$75,877	$76,292
Maximum Disposable Income After Income, Property & Sales Taxes	$69,733	$71,341

After Tax Comparison Earning $100,000 Per Year Filing As Married Filing Jointly

	Illinois	Iowa
Income Tax Owed	$13,196	$14,448
After Tax Income	$86,804	$85,552
Income After Income & Property Tax	$82,281	$82,859
Maximum Disposable Income After Income, Property & Sales Taxes	$75,619	$77,482

After Tax Comparison Earning $150,000 Per Year Filing As Married Filing Jointly

	Illinois	Iowa
Income Tax Owed	$25,726	$28,768
After Tax Income	$124,274	$121,232
Income After Income & Property Tax	$119,751	$118,539
Maximum Disposable Income After Income, Property & Sales Taxes	$110,055	$110,846

After Tax Comparison Earning $200,000 Per Year Filing As Married Filing Jointly

	Illinois	Iowa
Income Tax Owed	$39,201	$44,033
After Tax Income	$160,799	$155,967
Income After Income & Property Tax	$156,276	$153,274
Maximum Disposable Income After Income, Property & Sales Taxes	$143,622	$143,327

After Tax Comparison Earning $250,000 Per Year Filing As Married Filing Jointly

	Illinois	Iowa
Income Tax Owed	$53,595	$60,217
After Tax Income	$196,405	$189,783
Income After Income & Property Tax	$191,882	$187,090
Maximum Disposable Income After Income, Property & Sales Taxes	$176,345	$174,948

FAQ

Does Illinois or Iowa have lower income taxes?

Illinois’s income tax falls into the following range: 4.95%

Whereas Iowa’s income tax is the following

• 0.33%: $0-$1,743
• 0.67%: $1,744-$3,486
• 2.25%: $3,487-$6972
• 4.14%: $6,973-$15,687
• 5.63%: $15,688-$26,145
• 5.96%: $26,146-$34,860
• 6.25%: $34,861-$52,290
• 7.44%: $52,291-$78,435
• 8.53%: $78,436+

Does Illinois or Iowa have lower property taxes?

Illinois has an average property tax rate of 1.78%

In comparison, Iowa has an average property tax rate of 1.25%

Does Illinois or Iowa have lower sales taxes?

Illinois has a state sales tax rate of 6.25% and an average local rate of 2.56% for a combined total rate of 8.81%.

In contrast, Iowa has a state sales tax rate of 6.00% and an average local rate of 0.94% for a combined total rate of 6.94%.

Do you get to keep more money in Illinois or Iowa?

Based on median household income after income, property and sales taxes Illinois gives you a maximum amount of disposable income of $54,976

In comparison, Iowa gives you $55,913.

More Comparisons:

Illinois vs Nevada
Illinois vs Arkansas
Illinois vs Mississippi
Illinois vs Kansas
Illinois vs New Mexico

Sources:

https://en.wikipedia.org/wiki/State_income_tax#Rates_by_jurisdiction

https://www.bankrate.com/real-estate/property-tax-by-state/#by-state

https://fred.stlouisfed.org/release/tables?eid=259515&rid=249

https://www.fool.com/the-ascent/research/average-house-price-state/

https://taxfoundation.org/data/all/state/2022-sales-taxes/

https://www.forbes.com/advisor/income-tax-calculator/