Key Tax Facts: Hawaii
- Hawaii filing deadline is April 20, not April 15
- Second highest top rate in the U.S. at 11%
- General Excise Tax (GET) applies at 4% - functions like a sales tax
- Pension income exclusion available for government retirees
Estimate Your 2025 Federal and Hawaii State Income Tax
Hawaii State Income Tax Overview
Hawaii has the highest top marginal state income tax rate among all states at 11%, which applies to income above $200,000 for single filers. Hawaii uses a graduated system with twelve brackets beginning at 1.4% on income up to $2,400. The standard deduction in Hawaii is $4,400 for single filers and $8,800 for married couples, doubled from $2,200/$4,400 under H.B. 2404 - still among the lowest in the country. Hawaii does not conform to many federal tax provisions, so residents must recalculate certain items under state rules. Hawaii also imposes a General Excise Tax in lieu of a traditional sales tax, which is effectively passed on to consumers at rates ranging from 4% to 4.5%.
What Is Different About Hawaii's Income Tax
Deductions and exemptions
Hawaii's standard deduction jumped for 2025 to $4,400 for single filers and $8,800 for joint filers, part of a multi-year package that also widens brackets through 2031. Itemizing follows federal rules with state modifications, and personal exemptions of $1,144 apply.
Credits worth knowing
Hawaii's refundable food and excise tax credit offsets the state's general excise tax for lower-income households. Other credits include an earned income credit of 40% of the federal credit, a renter's credit, a child and dependent care credit, and credits for solar energy systems.
Retirement, capital gains, and other income
Social Security is exempt, and Hawaii also exempts employer-funded pension income, including most public and private defined-benefit pensions, but it taxes 401(k) and IRA distributions funded by employee contributions. Capital gains are taxed at a maximum 7.25% rate rather than the 11% top ordinary rate.
Rules summarized from the Hawaii Department of Taxation guidance for tax year 2025. Amounts that index annually are described in general terms; confirm the current figure on the official form instructions.
Hawaii Income Tax Brackets (Single Filers, 2025)
These are the Hawaii state income tax brackets for single filers. Married-filing-jointly brackets use wider income thresholds. Only the income within each bracket is taxed at that rate -- not your entire income.
| Taxable Income (Single) | Tax Rate |
|---|---|
| $0 - $9,600 | 1.4% |
| $9,600 - $14,400 | 3.2% |
| $14,400 - $19,200 | 5.5% |
| $19,200 - $24,000 | 6.4% |
| $24,000 - $36,000 | 6.8% |
| $36,000 - $48,000 | 7.2% |
| $48,000 - $125,000 | 7.6% |
| $125,000 - $175,000 | 7.9% |
| $175,000 - $225,000 | 8.25% |
| $225,000 - $275,000 | 9% |
| $275,000 - $325,000 | 10% |
| Over $325,000 | 11% |
Source: Hawaii Department of Taxation. Brackets shown are for single filers; married-filing-jointly thresholds are wider.
What a Hawaii Resident Actually Pays: A Worked Example
Your effective tax rate is almost always lower than your top bracket. Here is how the math works for a single filer earning $65,000.
Where Hawaii Stands Among the 50 States
Hawaii's top rate of 11% ranks #2 of the 41 states that tax wages -- among the ten highest in the country. The median top rate across those 41 states is 5.2%, so Hawaii is above the middle of the pack. It is one of 27 states with a graduated schedule, using 12 brackets; the top rate starts at $325,000 of taxable income, and the lowest bracket ends at $9,600.
On sales tax the picture is different: Hawaii's combined state and average local rate of 4.44% ranks #45 of 50, against a national median of 7.00%.
Hawaii State Tax at Five Income Levels (2025, single filer)
| Taxable income | Hawaii tax | Effective rate | Marginal rate |
|---|---|---|---|
| $40,000 | $1,963 | 4.91% | 7.2% |
| $65,000 | $3,831 | 5.89% | 7.6% |
| $100,000 | $6,491 | 6.49% | 7.6% |
| $150,000 | $10,366 | 6.91% | 7.9% |
| $250,000 | $18,716 | 7.49% | 9% |
Brackets applied directly to the taxable-income figure shown, before Hawaii-specific deductions, exemptions, or credits. Federal tax is separate and comes on top of every row.
Hawaii shares no land border with another state, so there is no neighbor comparison to make; residents choosing where to live weigh it against the national picture above instead.
Frequently Asked Questions -- Hawaii Income Tax
Does Hawaii have a state income tax?
Yes. Hawaii imposes a state income tax with a top marginal rate of 11%. This is separate from your federal income tax obligation.
What is the Hawaii income tax rate for 2025?
Hawaii uses a graduated income tax system with rates from 1.4% to 11%. Only the income within each bracket is taxed at that bracket's rate -- not your entire income.
Do I have to file a Hawaii state tax return?
Most full-year Hawaii residents with income above the state filing threshold must file a state return. Check the Hawaii Department of Taxation for current thresholds and requirements.
How accurate is this estimate?
The federal figure uses the official IRS 2025 brackets and standard deduction. The Hawaii figure applies the 2025 single-filer rate schedule to the same taxable income; it does not model Hawaii-specific deductions, exemptions, credits, or local income taxes, so treat it as a planning number and confirm with the Hawaii Department of Taxation or a tax professional before filing.
How does Hawaii compare with nearby states?
Hawaii has no land border with another state; the comparison table above shows the national picture instead.
Where does Hawaii rank on state income tax?
Hawaii's top rate of 11% ranks #2 of the 41 states with an income tax, against a median top rate of 5.2%. Its combined sales tax of 4.44% ranks #45 of 50.
Does this calculator include federal income tax?
Yes. It estimates your 2025 federal income tax using the official IRS 2025 brackets, then applies the Hawaii rate schedule to the same taxable income and shows both figures plus the combined total.
Where can I find official Hawaii tax forms?
Official forms, instructions, and filing guidance are available at the Hawaii Department of Taxation.
What is the sales tax rate in Hawaii?
Hawaii's combined state and average local sales tax rate is 4.44%. This is separate from income tax and applies to most retail purchases -- use our sales tax calculator to check a specific purchase.
When are Hawaii 2025 state taxes due?
2025 taxes are generally filed in 2026. The Hawaii filing deadline is April 20, 2026 -- note this differs from the federal deadline of April 15, 2026, so mark both dates.
Understanding Your Hawaii Tax Estimate
Your results combine two separate bills: federal tax owed to the IRS, and Hawaii state tax owed to the Hawaii Department of Taxation. The state return is filed separately from your federal Form 1040, with a state filing deadline of April 20. For the mechanics of how bracket math actually works -- why your effective rate is almost always lower than your top bracket -- see our marginal vs. effective tax rate guide.
Lowering Your Hawaii Bill
Pre-tax retirement contributions reduce your federal and Hawaii taxable income in the same move -- see our 401(k) contribution limits and HSA limits guides for the current caps. Beyond that, Hawaii-specific credits and deductions that don't exist at the federal level are listed at the Hawaii Department of Taxation -- worth checking, since these are easy to miss if you only look at federal guidance.
Combined Sales + Income Tax Picture
Hawaii's combined state-plus-average-local sales tax rate is 4.44%. If you're self-employed, that's an added layer on top of income tax -- our self-employment tax calculator covers the SE-specific piece separately.
Disclaimer: Estimates for educational purposes only. State tax results are approximations based on published bracket data and do not account for all deductions, credits, exemptions, local taxes, or individual situations. Not tax, legal, or financial advice. Consult the Hawaii Department of Taxation or a qualified tax professional for guidance specific to your situation.