Kentucky vs Arkansas Taxes: Income, Property & Sales

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

Kentucky vs Arkansas Income Tax Comparison

	Kentucky	Arkansas
Income Tax Rates & Thresholds	5.00%	2.00%: $0-$4,300 4.00%: $4,300-$8,500 4.90%: $8,501+
Median Income	$55,880	$53,980
Income Tax Paid On Median Household Income	$7,680	$7,352
Income After Tax Based on Median Household Income	$48,200	$46,628

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Kentucky vs Arkansas Property Tax Comparison

	Kentucky	Arkansas
Average Property Tax Rate	0.60%	0.53%
Average House Price By State	$201,033	$199,284
Average Property Tax Owed Per Year	$1,206	$1,056
Income After Income Taxes & Property Taxes Based On Median State Household Income	$46,994	$45,572

Kentucky vs Arkansas Sales Tax Comparison

	Kentucky	Arkansas
Average State Sales Tax	6.00%	6.50%
Average Local Sales Tax Across the State	0.00%	2.97%
Average Combined Sales Tax Rate	6.00%	9.47%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$2,660	$3,942
Maximum Disposable Income Based on Median Household Income	$44,334	$41,629

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

	Kentucky	Arkansas
Income Tax Owed	$4,865	$4,906
After Tax Income	$35,135	$35,094
Income After Income & Property Tax	$33,929	$34,038
Maximum Disposable Income After Income, Property & Sales Taxes	$32,008	$31,093

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

	Kentucky	Arkansas
Income Tax Owed	$8,793	$8,933
After Tax Income	$51,207	$51,067
Income After Income & Property Tax	$50,001	$50,011
Maximum Disposable Income After Income, Property & Sales Taxes	$47,171	$45,684

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

	Kentucky	Arkansas
Income Tax Owed	$14,193	$14,433
After Tax Income	$65,807	$65,567
Income After Income & Property Tax	$64,601	$64,511
Maximum Disposable Income After Income, Property & Sales Taxes	$60,944	$58,930

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

	Kentucky	Arkansas
Income Tax Owed	$19,593	$19,933
After Tax Income	$80,407	$80,067
Income After Income & Property Tax	$79,201	$79,011
Maximum Disposable Income After Income, Property & Sales Taxes	$74,718	$72,176

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

	Kentucky	Arkansas
Income Tax Owed	$13,081	$13,525
After Tax Income	$86,919	$86,475
Income After Income & Property Tax	$85,713	$85,419
Maximum Disposable Income After Income, Property & Sales Taxes	$80,861	$78,029

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

	Kentucky	Arkansas
Income Tax Owed	$25,636	$26,330
After Tax Income	$124,364	$123,670
Income After Income & Property Tax	$123,158	$122,614
Maximum Disposable Income After Income, Property & Sales Taxes	$116,187	$112,007

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

	Kentucky	Arkansas
Income Tax Owed	$39,136	$40,080
After Tax Income	$160,864	$159,920
Income After Income & Property Tax	$159,658	$158,864
Maximum Disposable Income After Income, Property & Sales Taxes	$150,621	$145,121

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

	Kentucky	Arkansas
Income Tax Owed	$53,555	$54,749
After Tax Income	$196,445	$195,251
Income After Income & Property Tax	$195,239	$194,195
Maximum Disposable Income After Income, Property & Sales Taxes	$184,188	$177,395

FAQ

Does Kentucky or Arkansas have lower income taxes?

Kentucky’s income tax falls into the following range: 5.00%

Whereas Arkansas’s income tax is the following

• 2.00%: $0-$4,300
• 4.00%: $4,300-$8,500
• 4.90%: $8,501+

Does Kentucky or Arkansas have lower property taxes?

Kentucky has an average property tax rate of 0.60%

In comparison, Arkansas has an average property tax rate of 0.53%

Does Kentucky or Arkansas have lower sales taxes?

Kentucky has a state sales tax rate of 6.00% and an average local rate of 0.00% for a combined total rate of 6.00%.

In contrast, Arkansas has a state sales tax rate of 6.50% and an average local rate of 2.97% for a combined total rate of 9.47%.

Do you get to keep more money in Kentucky or Arkansas?

Based on median household income after income, property and sales taxes Kentucky gives you a maximum amount of disposable income of $44,334

In comparison, Arkansas gives you $41,629.

More Comparisons:

Kentucky vs Mississippi
Kentucky vs Kansas
Kentucky vs New Mexico
Kentucky vs Nebraska
Kentucky vs Idaho

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/