Washington vs Iowa Taxes: Income, Property & Sales

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

Washington vs Iowa Income Tax Comparison

	Washington	Iowa
Income Tax Rates & Thresholds	7.0% on capital gains income only	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	$89,430	$76,320
Income Tax Paid On Median Household Income	$12,442	$13,833
Income After Tax Based on Median Household Income	$76,988	$62,487

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Washington vs Iowa Property Tax Comparison

	Washington	Iowa
Average Property Tax Rate	0.70%	1.25%
Average House Price By State	$593,406	$215,458
Average Property Tax Owed Per Year	$4,154	$2,693
Income After Income Taxes & Property Taxes Based On Median State Household Income	$72,834	$59,794

Washington vs Iowa Sales Tax Comparison

	Washington	Iowa
Average State Sales Tax	6.50%	6.00%
Average Local Sales Tax Across the State	2.79%	0.94%
Average Combined Sales Tax Rate	9.29%	6.94%
Maximum Amount of Sales Tax Paid Based on Median Household Income	$6,191	$3,880
Maximum Disposable Income Based on Median Household Income	$66,643	$55,913

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

	Washington	Iowa
Income Tax Owed	$3,040	$4,786
After Tax Income	$36,960	$35,214
Income After Income & Property Tax	$32,806	$32,521
Maximum Disposable Income After Income, Property & Sales Taxes	$30,018	$30,410

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

	Washington	Iowa
Income Tax Owed	$5,968	$9,028
After Tax Income	$54,032	$50,972
Income After Income & Property Tax	$49,878	$48,279
Maximum Disposable Income After Income, Property & Sales Taxes	$45,638	$45,146

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

	Washington	Iowa
Income Tax Owed	$10,368	$14,916
After Tax Income	$69,632	$65,084
Income After Income & Property Tax	$65,478	$62,391
Maximum Disposable Income After Income, Property & Sales Taxes	$59,912	$58,342

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

	Washington	Iowa
Income Tax Owed	$14,768	$21,015
After Tax Income	$85,232	$78,985
Income After Income & Property Tax	$81,078	$76,292
Maximum Disposable Income After Income, Property & Sales Taxes	$74,186	$71,341

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

	Washington	Iowa
Income Tax Owed	$8,481	$14,448
After Tax Income	$91,519	$85,552
Income After Income & Property Tax	$87,365	$82,859
Maximum Disposable Income After Income, Property & Sales Taxes	$79,939	$77,482

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

	Washington	Iowa
Income Tax Owed	$18,536	$28,768
After Tax Income	$131,464	$121,232
Income After Income & Property Tax	$127,310	$118,539
Maximum Disposable Income After Income, Property & Sales Taxes	$116,488	$110,846

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

	Washington	Iowa
Income Tax Owed	$29,536	$44,033
After Tax Income	$170,464	$155,967
Income After Income & Property Tax	$166,310	$153,274
Maximum Disposable Income After Income, Property & Sales Taxes	$152,173	$143,327

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

	Washington	Iowa
Income Tax Owed	$41,455	$60,217
After Tax Income	$208,545	$189,783
Income After Income & Property Tax	$204,391	$187,090
Maximum Disposable Income After Income, Property & Sales Taxes	$187,017	$174,948

FAQ

Does Washington or Iowa have lower income taxes?

Washington’s income tax falls into the following range: 7.0% on capital gains income only

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 Washington or Iowa have lower property taxes?

Washington has an average property tax rate of 0.70%

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

Does Washington or Iowa have lower sales taxes?

Washington has a state sales tax rate of 6.50% and an average local rate of 2.79% for a combined total rate of 9.29%.

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 Washington or Iowa?

Based on median household income after income, property and sales taxes Washington gives you a maximum amount of disposable income of $66,643

In comparison, Iowa gives you $55,913.

More Comparisons:

Washington vs Nevada
Washington vs Arkansas
Washington vs Mississippi
Washington vs Kansas
Washington 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/