What is Arkansas's top income tax rate for 2024?

Arkansas's top marginal individual income tax rate was reduced to 4.4% for the 2024 tax year, down from 4.7%. Income is taxed in graduated brackets, and the top rate applies to higher-income filers.

What is the Arkansas standard deduction?

For 2024 the Arkansas standard deduction is $2,340 for single filers and $4,680 for married filing jointly. You may itemize instead if your itemized deductions exceed the standard amount.

Does Arkansas use tax credits instead of exemptions?

Yes. Instead of personal exemptions, Arkansas grants personal tax credits — about $29 each for the taxpayer, spouse, and each dependent — subtracted directly from the calculated tax rather than from income.

Is Social Security taxed in Arkansas?

No. Arkansas fully exempts Social Security benefits from state income tax. It also allows a deduction of up to $6,000 of qualifying retirement and pension income, which is handled in the retirement-specific calculator.

Is federal tax included here?

No. This tool computes only Arkansas state income tax. Federal income tax, FICA, and any local taxes are separate. Use it to estimate the state-level portion of your overall tax.

Arkansas Income Tax Calculator

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Arkansas levies a graduated state income tax with a top marginal rate of 4.4 percent for 2024. This calculator applies the bracket schedule for your filing status, subtracts the standard deduction, applies personal tax credits, and shows your tax due and effective rate.

How it works

Arkansas taxable income is reduced by the standard (or itemized) deduction, then the graduated brackets are applied. For 2024 the top marginal rate is 4.4 percent. Unlike states that use personal exemptions, Arkansas subtracts flat personal tax credits directly from the computed tax:

taxable    = income − deduction
gross tax  = bracket schedule applied to taxable
net tax    = gross tax − (personal credits)

Each personal credit is about 29 dollars — one for you, one for a spouse on a joint return, and one per dependent.

Example

A single filer with $50,000 of net income subtracts the $2,340 standard deduction, leaving $47,660 taxable. Applying the 2024 graduated brackets yields roughly $1,930 of tax. After the $29 personal credit, the net Arkansas tax is about $1,901, an effective rate near 3.8 percent.

Notes

Arkansas has progressively cut its top rate in recent years, and bracket thresholds are inflation-adjusted, so always confirm the current schedule on the Arkansas Department of Finance and Administration website. This simplified tool models the standard deduction and personal credits but not every itemized item, low-income table, or special credit. Estimate only.