Key Tax Facts: Wisconsin
- Top rate of 7.65% on income above $315,310 (joint)
- Retirement income is generally taxable, unlike many neighboring states
- Social Security is exempt for most filers based on income
- Long-term capital gains may qualify for a 30% exclusion
Estimate Your 2025 Federal and Wisconsin State Income Tax
Wisconsin State Income Tax Overview
Wisconsin uses a graduated income tax with four brackets ranging from 3.5% to 7.65% for 2024. Single filers pay 3.5% on income up to $13,810 and reach the top 7.65% rate on income above $304,170. Wisconsin provides a standard deduction that phases out at higher income levels - $13,560 for single filers and $25,110 for married couples at lower incomes, phasing to zero at higher incomes. The state taxes Social Security income but provides a partial subtraction for lower-income retirees. Wisconsin allows a deduction for contributions to Wisconsin 529 college savings accounts and offers a homestead credit for lower-income residents who own or rent their home.
What Is Different About Wisconsin's Income Tax
Deductions and exemptions
Wisconsin's standard deduction is a sliding scale that starts at $13,930 for single filers and $25,800 for joint filers for 2025 and phases down to zero as income rises. Itemized deductions are converted into a credit equal to 5% of certain federal itemized amounts. Personal exemptions of $700 per person apply, plus $250 for filers 65 and older.
Credits worth knowing
Wisconsin's earned income credit is 4%, 11%, or 34% of the federal credit depending on the number of children. The homestead credit refunds part of property tax or rent for lower-income households, and there is a married couple credit for two-earner households, a child and dependent care expense subtraction, and a credit for taxes paid to other states. The second bracket was widened for 2025 to lower tax on middle incomes.
Retirement, capital gains, and other income
Social Security is exempt. Taxpayers 65 and older with income under $15,000 single or $30,000 joint can exclude up to $5,000 of retirement income, and military retirement pay and certain public pensions earned before 1964 are fully exempt. Wisconsin excludes 30% of net long-term capital gains, or 60% for farm assets.
Rules summarized from the Wisconsin Department of Revenue guidance for tax year 2025. Amounts that index annually are described in general terms; confirm the current figure on the official form instructions.
Wisconsin Income Tax Brackets (Single Filers, 2025)
These are the Wisconsin 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 - $14,680 | 3.5% |
| $14,680 - $29,370 | 4.4% |
| $29,370 - $323,290 | 5.3% |
| Over $323,290 | 7.65% |
Source: Wisconsin Department of Revenue. Brackets shown are for single filers; married-filing-jointly thresholds are wider.
What a Wisconsin 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 Wisconsin Stands Among the 50 States
Wisconsin's top rate of 7.65% ranks #9 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 Wisconsin is above the middle of the pack. It is one of 27 states with a graduated schedule, using 4 brackets; the top rate starts at $323,290 of taxable income, and the lowest bracket ends at $14,680.
On sales tax the picture is different: Wisconsin's combined state and average local rate of 5.43% ranks #43 of 50, against a national median of 7.00%.
Wisconsin State Tax at Five Income Levels (2025, single filer)
| Taxable income | Wisconsin tax | Effective rate | Marginal rate |
|---|---|---|---|
| $40,000 | $1,724 | 4.31% | 5.3% |
| $65,000 | $3,049 | 4.69% | 5.3% |
| $100,000 | $4,904 | 4.90% | 5.3% |
| $150,000 | $7,554 | 5.04% | 5.3% |
| $250,000 | $12,854 | 5.14% | 5.3% |
Brackets applied directly to the taxable-income figure shown, before Wisconsin-specific deductions, exemptions, or credits. Federal tax is separate and comes on top of every row.
Wisconsin vs. Its Neighbors on $75,000 of Taxable Income
A Wisconsin resident with $75,000 of taxable income pays about $3,579 in state income tax. Of Wisconsin's 4 neighboring states, 2 would tax that income less and 2 would tax it more.
Frequently Asked Questions -- Wisconsin Income Tax
Does Wisconsin have a state income tax?
Yes. Wisconsin imposes a state income tax with a top marginal rate of 7.65%. This is separate from your federal income tax obligation.
What is the Wisconsin income tax rate for 2025?
Wisconsin uses a graduated income tax system with rates from 3.5% to 7.65%. Only the income within each bracket is taxed at that bracket's rate -- not your entire income.
Do I have to file a Wisconsin state tax return?
Most full-year Wisconsin residents with income above the state filing threshold must file a state return. Check the Wisconsin Department of Revenue for current thresholds and requirements.
How accurate is this estimate?
The federal figure uses the official IRS 2025 brackets and standard deduction. The Wisconsin figure applies the 2025 single-filer rate schedule to the same taxable income; it does not model Wisconsin-specific deductions, exemptions, credits, or local income taxes, so treat it as a planning number and confirm with the Wisconsin Department of Revenue or a tax professional before filing.
How does Wisconsin compare with nearby states?
On $75,000 of taxable income, Wisconsin collects about $3,579. Iowa collects $2,850, Michigan collects $3,188, Illinois collects $3,713, Minnesota collects $4,628. See the comparison table above.
Where does Wisconsin rank on state income tax?
Wisconsin's top rate of 7.65% ranks #9 of the 41 states with an income tax, against a median top rate of 5.2%. Its combined sales tax of 5.43% ranks #43 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 Wisconsin rate schedule to the same taxable income and shows both figures plus the combined total.
Where can I find official Wisconsin tax forms?
Official forms, instructions, and filing guidance are available at the Wisconsin Department of Revenue.
What is the sales tax rate in Wisconsin?
Wisconsin's combined state and average local sales tax rate is 5.43%. This is separate from income tax and applies to most retail purchases -- use our sales tax calculator to check a specific purchase.
When are Wisconsin 2025 state taxes due?
2025 taxes are generally filed in 2026. The Wisconsin filing deadline is April 15, 2026, the same as the federal deadline.
Understanding Your Wisconsin Tax Estimate
Your results combine two separate bills: federal tax owed to the IRS, and Wisconsin state tax owed to the Wisconsin Department of Revenue. The state return is filed separately from your federal Form 1040, with a state filing deadline of April 15. 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 Wisconsin Bill
Pre-tax retirement contributions reduce your federal and Wisconsin taxable income in the same move -- see our 401(k) contribution limits and HSA limits guides for the current caps. Beyond that, Wisconsin-specific credits and deductions that don't exist at the federal level are listed at the Wisconsin Department of Revenue -- worth checking, since these are easy to miss if you only look at federal guidance.
Combined Sales + Income Tax Picture
Wisconsin's combined state-plus-average-local sales tax rate is 5.43%. 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 Wisconsin Department of Revenue or a qualified tax professional for guidance specific to your situation.