Nevada Income Tax Calculator 2025

✅ Nevada Has NO State Income Tax!

Great News: Nevada does NOT tax wages, salaries, or most other income. You pay $0 in state income tax!

No tax on wages/salaries
No tax on retirement income (pensions, 401k, IRA)
No tax on Social Security benefits
No tax on capital gains

Your Income Tax: $0

💰 Nevada's Tax Trade-Offs

⚠️ But... Higher Sales & Other Taxes

While Nevada has no income tax, it makes up revenue through:

Sales Tax: 6.85% state + up to 1.53% local = 8.38% total (above national avg)
Gaming Taxes: Casinos pay significant gaming taxes (not individuals)
Property Tax: 0.48%-0.84% (moderate, not highest)
Tourism Taxes: Hotel/lodging taxes fund state services

Who Benefits Most from Nevada's 0% Tax?

High earners: Save $5,000-$50,000+/year vs high-tax states (CA, NY, NJ)
Retirees: No tax on pensions, 401k withdrawals, Social Security
Business owners: No corporate income tax, attractive for businesses
Remote workers: Live in NV, keep high salary, pay no state tax

📊 Nevada vs Neighbors (2025)

State	Income Tax	Sales Tax	Total Tax on $75k
Nevada	0%	8.38%	~$2,500 (sales only)
California	1% - 13.3%	7.25-10.75%	~$8,500
Oregon	4.75% - 9.9%	0%	~$5,063
Arizona	2.5% flat	5.6-11%	~$3,500
Utah	4.5% flat	6.1-8.35%	~$5,000
Idaho	5.3% flat	6%	~$5,800

🎓 Nevada Tax FAQs

Will Nevada ever add an income tax?

Unlikely! Nevada's constitution prohibits personal income tax without a 2/3 legislative vote AND voter approval. This makes it extremely difficult to implement.

How does Nevada fund government without income tax?

Nevada relies heavily on gaming/casino taxes, sales taxes, tourism-related fees, and property taxes. Gaming taxes alone contribute $1+ billion annually.

Is Nevada good for retirees?

Yes! No tax on Social Security, pensions, or retirement withdrawals. Combined with warm weather and no estate/inheritance tax, Nevada is very retiree-friendly. However, healthcare quality varies by region.

Do I need to file a Nevada state tax return?

No! Nevada has no income tax, so there's no state tax return to file. You only file federal taxes.

💵 Federal Filing Only:

Cash App Taxes: 100% FREE (federal only)
FreeTaxUSA: $0 federal
No state return needed!

🏡 Cost of Living Trade-Offs

Pros: 0% income tax, no estate tax, warm weather, entertainment

Cons: Higher sales tax (8.38%), housing costs rising (Las Vegas/Reno), extreme heat in summer, limited public transit

Best For: High earners, retirees, remote workers, business owners, people who don't mind heat

Consider Carefully If: Low income (sales tax hits harder), need robust public services, prefer cooler climates