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Maine State Taxes

Quick Tax Facts

  • income tax wallet icon Income Tax: 5.8% – 7.15%
  • sales tax - credit card icon State Sales Tax: 5.5%
  • property tax - house icon Median Property Tax: $1,936

Overview

Maine is known for its rocky coastlines, sandy beaches, and vast forests. With a low crime rate and laid-back vibe, it’s also considered very family-friendly. For families with incomes above $75,000, however, it’s not exactly tax-friendly. Although Maine’s sales tax rate is one of the lowest in the country (no local sales tax allowed), it has higher-than-average property taxes and its income tax rates are fairly steep for top earners.

Maine Income Tax

Maine has graduated income tax rates that range from 5.8% to 7.15%.

2023 Maine Income Tax Rates – Single or Married Filing Separately
If taxable income is:The tax is:
Less than $24,5005.8%
$24,500 but less than $58,0506.75%, plus $1,421
Over $58,0507.15%, plus $3,686
2023 Maine Income Tax Rates – Head of Household
If taxable income is:The tax is:
Less than $36,7505.8%
$36,750 but less than $87,1006.75%, plus $2,132
Over $87,1007.15%, plus $5,531
2023 Maine Income Tax Rates – Married Filing Jointly or Surviving Spouse
If taxable income is:The tax is:
Less than $49,0505.8%
$49,050 but less than $116,1006.75%, plus $2,845
Over $116,1007.15%, plus $7,371

Who Must File?

Anyone who has lived in Maine during the tax year, and has taxable income from a Maine source, must file a state tax return (Form 1040ME). Additionally, non-residents who perform personal services in the state for more than 12 days and earn more than $3,000 from Maine sources, must also file a return.

Part-year residents, non-residents, and “safe harbor” residents must use the same filing status used on their federal income tax returns. They must also include a copy of their federal return (including all schedules and worksheets) with their Maine return (Form 1040ME) and Schedule NR.

Maine Sales Tax

Maine has a statewide sales tax rate of 5.5%. Additional sales tax at the local level is not allowed. There are higher (and lower) sales tax rates for certain items.

Rate TypeSales and Use Tax Rate
General Sales, long-term auto rental, use tax, and medical marijuana5.5%
Prepared food (including items containing medical marijuana) and lodging8%
Short-term auto rentals and adult-use marijuana10%
Service provider tax5%

Maine Property Taxes

Per the Maine constitution, property taxes are assessed on April 1 each year. Assessments are based on fair market value as of that date. Property taxes are generally administered at the local level. Overall. Maine’s property tax rates are middle-of-the-road when compared to other states.

The median property tax in Maine is approximately $1,936 annually. Cumberland County has the highest property tax at an average of $2,973. The lowest amount is $1,065 in Washington County.

Maine Property Tax
Highest

$2973

Median

$1936

Lowest

$1065

Yearly Cost Per Resident

Maine Tax Holidays

Maine does not offer any tax holidays at this time.

Maine Tax Resources

If you need assistance preparing your Maine state taxes, you can speak with a tax professional from Tax Defense Network by calling 855-476-6920.

You can also visit the Maine Department of Revenue website for additional resources.