Alaska · 2025

Alaska Income Tax Rate & 2025 Tax Brackets

Alaska has no state income tax — here's what that means, plus the 2025 federal brackets.

StateAlaska
State income taxNo
Rate typeNone
Top state rate (2025)
Federal brackets10% – 37%

Alaska state income tax

Here's the good news for Alaska residents: Alaska has no state individual income tax. No state individual income tax. That means no state tax on your wages, and typically no state return to file for earned income — you still owe federal income tax, which is what the brackets below cover.

No income tax doesn't mean no taxes, though. States without an income tax usually lean on other sources — property tax, sales tax, and various fees — to fund services, and those can run higher than in income-tax states. Your total tax burden depends on the whole picture, not just the income line.

Rules can change, and special cases (like income earned in another state) can still create a filing obligation. When in doubt, confirm with the Alaska Department of Revenue or your preparer.

2025 federal income tax brackets

For the 2025 tax year (the return you file in 2026), the federal government uses seven tax brackets from 10% to 37%. The brackets are progressive: each slice of your taxable income is taxed at that bracket's rate, not your whole income at the top rate.

Single — 2025

Tax rateTaxable income
10%$0 – $11,924
12%$11,925 – $48,474
22%$48,475 – $103,349
24%$103,350 – $197,299
32%$197,300 – $250,524
35%$250,525 – $626,349
37%$626,350 and up

Married filing jointly — 2025

Tax rateTaxable income
10%$0 – $23,849
12%$23,850 – $96,949
22%$96,950 – $206,699
24%$206,700 – $394,599
32%$394,600 – $501,049
35%$501,050 – $751,599
37%$751,600 and up

Head of household — 2025

Tax rateTaxable income
10%$0 – $16,999
12%$17,000 – $64,849
22%$64,850 – $103,349
24%$103,350 – $197,299
32%$197,300 – $250,499
35%$250,500 – $626,349
37%$626,350 and up

Married filing separately — 2025

Tax rateTaxable income
10%$0 – $11,924
12%$11,925 – $48,474
22%$48,475 – $103,349
24%$103,350 – $197,299
32%$197,300 – $250,524
35%$250,525 – $375,799
37%$375,800 and up

2025 standard deduction

Most taxpayers subtract the standard deduction from income before the brackets apply. For 2025 the standard deduction is:

Filing status2025 standard deduction
Single$15,000
Married filing jointly$30,000
Head of household$22,500
Married filing separately$15,000

You take the standard deduction unless your itemized deductions (mortgage interest, state and local taxes, charitable gifts, etc.) add up to more.

How tax brackets actually work

A common myth is that moving into a higher bracket taxes all of your income at that rate. It doesn't. The brackets are marginal, meaning only the dollars inside each band are taxed at that band's rate — your earlier dollars stay taxed at 10% and 12% no matter how much you go on to earn.

That single misunderstanding causes real financial mistakes: people turn down raises, overtime, or bonuses because they fear being "bumped into the next bracket." You never lose money by earning more — only the portion above each threshold is taxed higher, so your take-home always goes up.

That's also why your effective tax rate — total tax divided by total income — is almost always well below your top bracket. Someone "in the 22% bracket" typically pays an effective rate closer to 11–14%.

A worked example: $75,000 salary, single

Say you're single and earn $75,000 in wages in 2025. You take the $15,000 standard deduction, which leaves $60,000 of taxable income. Here's how that $60,000 moves through the brackets, one band at a time:

BracketIncome taxed hereTax
10%First $11,925$1,192.50
12%$11,925 – $48,475$4,386.00
22%$48,475 – $60,000$2,535.50
Total$60,000 taxable$8,114.00

So the total federal income tax is about $8,114. Notice what that means: even though you're "in the 22% bracket," your effective rate on taxable income is roughly 13.5%, and on your full $75,000 salary it's under 11%. The 22% only ever touched the last $11,525.

Want your exact number for your income, filing status, and state? Use our free income tax calculator — it shows the tax stacking up bracket by bracket, plus your refund or balance due.
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