Indiana vs Iowa Taxes: Income, Property & Sales 2025

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

Indiana vs Iowa Income Tax Comparison

	Indiana	Iowa
Income Tax Rates & Thresholds	3.23%	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	$70,030	$76,320
Income Tax Paid On Median Household Income	$10,404	$13,833
Income After Tax Based on Median Household Income	$59,626	$62,487

* Note tax calculation assume filling as a single person rather than married.

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Indiana vs Iowa Property Tax Comparison

	Indiana	Iowa
Average Property Tax Rate	0.74%	1.25%
Average House Price By State	$232,390	$215,458
Average Property Tax Owed Per Year	$1,720	$2,693
Income After Income Taxes & Property Taxes Based On Median State Household Income	$57,906	$59,794

* Again assuming income tax is filed as a single person

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Indiana vs Iowa Sales Tax Comparison

	Indiana	Iowa
Average State Sales Tax	7.00%	6.00%
Average Local Sales Tax Across the State	0.00%	0.94%
Average Combined Sales Tax Rate	7.00%	6.94%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$3,788	$3,880
Maximum Disposable Income Based on Median Household Income	$54,118	$55,913

* Maximum disposable is calculated based on earning the median household income and then deducting income, property and sales taxes assuming you spend your entire income.

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

	Indiana	Iowa
Income Tax Owed	$4,300	$4,786
After Tax Income	$35,700	$35,214
Income After Income & Property Tax	$33,980	$32,521
Maximum Disposable Income After Income, Property & Sales Taxes	$31,757	$30,410

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

	Indiana	Iowa
Income Tax Owed	$7,873	$9,028
After Tax Income	$52,127	$50,972
Income After Income & Property Tax	$50,407	$48,279
Maximum Disposable Income After Income, Property & Sales Taxes	$47,110	$45,146

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

	Indiana	Iowa
Income Tax Owed	$12,919	$14,916
After Tax Income	$67,081	$65,084
Income After Income & Property Tax	$65,361	$62,391
Maximum Disposable Income After Income, Property & Sales Taxes	$61,085	$58,342

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

	Indiana	Iowa
Income Tax Owed	$17,965	$21,015
After Tax Income	$82,035	$78,985
Income After Income & Property Tax	$80,315	$76,292
Maximum Disposable Income After Income, Property & Sales Taxes	$75,061	$71,341

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

	Indiana	Iowa
Income Tax Owed	$11,646	$14,448
After Tax Income	$88,354	$85,552
Income After Income & Property Tax	$86,634	$82,859
Maximum Disposable Income After Income, Property & Sales Taxes	$80,967	$77,482

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

	Indiana	Iowa
Income Tax Owed	$23,316	$28,768
After Tax Income	$126,684	$121,232
Income After Income & Property Tax	$124,964	$118,539
Maximum Disposable Income After Income, Property & Sales Taxes	$116,789	$110,846

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

	Indiana	Iowa
Income Tax Owed	$35,931	$44,033
After Tax Income	$164,069	$155,967
Income After Income & Property Tax	$162,349	$153,274
Maximum Disposable Income After Income, Property & Sales Taxes	$151,728	$143,327

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

	Indiana	Iowa
Income Tax Owed	$49,465	$60,217
After Tax Income	$200,535	$189,783
Income After Income & Property Tax	$198,815	$187,090
Maximum Disposable Income After Income, Property & Sales Taxes	$185,809	$174,948