5 States with Income Tax Cuts in 2024

3. Iowa

Corporate Income Tax in 2024: 7.10%

Corporate Income Tax in 2023: 8.40%

Personal Income Tax in 2024: 5.70%

Personal Income Tax in 2023: 6%

Iowa has a corporate income tax rate of 5.5% on income under $100,000 and 7.10% on income above $100,000. For individual taxpayers, the personal income tax rate is lowered to 5.70%, which is planned to reduce to 3.9% by 2026. Ranked third on our list, Iowa is one of the states with income tax cuts in 2024.