How much is Arkansas income tax?
Arkansas income tax at 3 levels of Arkansas taxable income — what is left after Arkansas's own deductions and exemptions. Local income taxes are not included.
| Taxable income | Single | Married filing jointly |
|---|---|---|
| $50,000 | $1,4833.0% effective · 3.7% marginal | $1,4833.0% effective · 3.7% marginal |
| $100,000 | $3,6203.6% effective · 3.7% marginal | $3,6203.6% effective · 3.7% marginal |
| $250,000 | $9,1703.7% effective · 3.7% marginal | $9,1703.7% effective · 3.7% marginal |
These figures include a rule from Arkansas's law that the bracket table cannot show: Ark. Code §26-51-201 as amended by SB1 (2026 1st Ex. Sess.) · Arkansas DFA, Fiscal Impact Statement, SB1.
Run your own Arkansas numbersWhat are Arkansas's income tax brackets for 2026?
| Taxable income | Rate |
|---|---|
| Up to $5,599 | 0% |
| Over $5,599 up to $11,199 | 2% |
| Over $11,199 up to $15,999 | 3% |
| Over $15,999 up to $26,399 | 3.4% |
| Over $26,399 | 3.7% |
Arkansas uses one schedule for every filing status, so a married couple's brackets are not doubled.
Source: DFA Fiscal Impact, SB1 (2026 1st Extraordinary Session), checked September 11, 2026.
Can you deduct Arkansas income tax on your federal return?
The federal deduction for state and local taxes (SALT) is capped at $40,400 for 2026 — $20,200 if married filing separately — and the cap shrinks toward $10,000 once modified AGI passes $505,000. A single filer with $250,000 of Arkansas taxable income owes about $9,170 in Arkansas income tax — 23% of that cap before any property tax.
SALT cap workaroundsDoes Arkansas have a pass-through entity tax (PTET)?
Yes. A partnership or S corporation can elect to pay Arkansas income tax at the entity level. The business deducts it federally, so that state tax is not limited by the SALT cap, and the owners claim an Arkansas credit or exclusion for it. Deductsy's plan treats March 15 as the Arkansas election or first-payment deadline; it is approximate, so confirm it with Arkansas before relying on it.
PTET savings calculatorWhen are Arkansas estimated tax payments due?
Arkansas estimated tax is due April 15, June 15, September 15 and January 15 of the following year, in 4 equal instalments. Those are the same dates as the federal schedule. Source: Estimated Tax Declaration Vouchers and Instructions for Tax Year 2026, AR1000ES (R 10/14/2025).
Safe-harbor calculatorWhat is the penalty for underpaying Arkansas estimated tax?
Arkansas charges 10% a year on an underpaid instalment. Paying at least 90% of this year's tax or 100% of last year's on time avoids it. No estimated payments are required if you expect to owe less than $1,000. Source: Instructions For AR2210, Penalty for Underpayment of Estimated Tax (R 6/27/2025).
Are HSA contributions deductible in Arkansas?
Yes. Arkansas follows the federal treatment, so an HSA contribution — up to $4,400 with self-only coverage or $8,750 with family coverage for 2026 — lowers Arkansas taxable income as well as federal.
Does Arkansas give a tax break for 529 plan contributions?
Yes. Arkansas lets you deduct up to $5,000 a year of contributions to any state's 529 plan ($10,000 on a joint return). Income limits, per-beneficiary caps and carryforwards differ by state, so check the plan's rules.
529 plan tax savings calculatorWhat is the property tax rate in Arkansas?
Arkansas's average effective property tax rate is 0.55% — tied for the 39th highest of 51 jurisdictions and 61% of the national average of 0.9%. That is about $550 a year for every $100,000 of home value; the rate varies widely by county and school district.
Itemize or take the standard deduction?How much does an LLC cost to keep in Arkansas each year?
Deductsy budgets about $150 a year for an Arkansas LLC — the annual report fee or minimum franchise tax, with a fee due every two years counted at half. Fees change, so confirm with Arkansas's business filing office.
Arkansas S-corp tax calculatorHow do Arkansas taxes compare with neighboring states?
| State | Top income tax rate | Income tax on $100,000 (single) | Property tax (avg) |
|---|---|---|---|
| Arkansas | 3.7% | $3,620 | 0.55% |
| Louisiana | 3% | $3,000 | 0.55% |
| Mississippi | 4% | $3,600 | 0.72% |
| Missouri | 4.7% | $4,555 | 0.85% |
| Oklahoma | 4.5% | $4,285 | 0.8% |
| Tennessee | None | $0 | 0.5% |
| Texas | None | $0 | 1.49% |
On $100,000 of taxable income a single filer's Arkansas income tax is $3,620 — more than in 4 of 6 neighboring states. The lowest is Tennessee at $0; the highest is Missouri at $4,555. Arkansas's average property tax rate is higher than in 1 of 6.
Income tax is each state's own tax on the same state taxable income; local income taxes are not included.
Tax moves that matter most for Arkansas
If you own an S corporation, partnership or multi-member LLC, Arkansas's PTET election moves the Arkansas income tax on that profit to the business, where it is deductible federally and outside the SALT cap.
An S-corp election can cut self-employment tax once profit is large enough to pay yourself a reasonable salary and still cover payroll and filing costs. The Arkansas calculator adds Arkansas's own entity fees and taxes to that breakeven.
With 1099 income, a Solo 401(k) can take up to $72,000 a year (2026) — usually more than a SEP-IRA at the same income. Contributions lower both federal and Arkansas income tax.
Run your Arkansas numbers
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