How much is District of Columbia income tax?
District of Columbia income tax at 3 levels of District of Columbia taxable income — what is left after the District of Columbia's own deductions and exemptions. Local income taxes are not included.
| Taxable income | Single | Married filing jointly |
|---|---|---|
| $50,000 | $2,8505.7% effective · 6.5% marginal | $2,8505.7% effective · 6.5% marginal |
| $100,000 | $6,9006.9% effective · 8.5% marginal | $6,9006.9% effective · 8.5% marginal |
| $250,000 | $19,6507.9% effective · 9.25% marginal | $19,6507.9% effective · 9.25% marginal |
What are the District of Columbia's income tax brackets for 2026?
| Taxable income | Rate |
|---|---|
| Up to $10,000 | 4% |
| Over $10,000 up to $40,000 | 6% |
| Over $40,000 up to $60,000 | 6.5% |
| Over $60,000 up to $250,000 | 8.5% |
| Over $250,000 up to $500,000 | 9.25% |
| Over $500,000 up to $1,000,000 | 9.75% |
| Over $1,000,000 | 10.75% |
The District of Columbia uses one schedule for every filing status, so a married couple's brackets are not doubled.
Source: D.C. Code §47-1806.03(a)(11), checked September 10, 2026.
Can you deduct District of Columbia 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 District of Columbia taxable income owes about $19,650 in District of Columbia income tax — 49% of that cap before any property tax.
SALT cap workaroundsDoes the District of Columbia have a pass-through entity tax (PTET)?
No. The District of Columbia has no elective pass-through entity tax, so an owner's District of Columbia income tax on business profit is paid personally and counts toward the federal SALT cap.
When are District of Columbia estimated tax payments due?
District of Columbia estimated tax is due April 15, June 15, September 15 and January 15 of the following year, in 4 equal installments. Those are the same dates as the federal schedule. Source: 2026 D-40ES, Estimated Payment for Individual Income Tax booklet (REV. 03/2026).
Safe-harbor calculatorWhat is the penalty for underpaying District of Columbia estimated tax?
The District of Columbia charges 10% a year on an underpaid installment, compounded daily. Paying at least 90% of this year's tax or 110% of last year's on time avoids it. No estimated payments are required if you expect to owe less than $100. Source: 2026 D-40ES, Estimated Payment for Individual Income Tax booklet (REV. 03/2026).
Are HSA contributions deductible in the District of Columbia?
Yes. The District of Columbia 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 District of Columbia taxable income as well as federal.
Does the District of Columbia give a tax break for 529 plan contributions?
Yes. The District of Columbia lets you deduct up to $4,000 a year of contributions to the District of Columbia's own 529 plan ($8,000 on a joint return). Income limits, per-beneficiary caps and carryforwards differ by state, so check the plan's rules.
529 plan tax savings calculatorWhich states have tax reciprocity with the District of Columbia?
The District of Columbia has mutual agreements with Maryland and Virginia: neither state taxes the other's residents on wages earned there, so those wages are taxed only where you live. Give your employer the exemption certificate and the state you work in stops withholding.
What is the property tax rate in the District of Columbia?
The District of Columbia's average effective property tax rate is 0.58% — the 37th highest of 51 jurisdictions and 64% of the national average of 0.9%. That is about $580 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 the District of Columbia each year?
Deductsy budgets about $150 a year for a District of Columbia LLC — the annual report fee or minimum franchise tax, with a fee due every two years counted at half. Fees change, so confirm with the District of Columbia's business filing office.
District of Columbia S-corp tax calculatorHow do District of Columbia taxes compare with neighboring states?
| State | Top income tax rate | Income tax on $100,000 (single) | Property tax (avg) |
|---|---|---|---|
| District of Columbia | 10.75% | $6,900 | 0.58% |
| Maryland | 6.5% | $4,698 | 0.97% |
| Virginia | 5.75% | $5,493 | 0.73% |
On $100,000 of taxable income a single filer's District of Columbia income tax is $6,900 — more than in both neighboring states. The lowest is Maryland at $4,698; the highest is Virginia at $5,493. The District of Columbia's average property tax rate is higher than in none of the 2.
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 the District of Columbia
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 District of Columbia calculator adds the District of Columbia'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 District of Columbia income tax.
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