Arkansas Income Tax 2026: Rates, Brackets & Calculator

How Arkansas taxes wages

Top rate cut to 3.7% for 2026 by HB 1001 (2026), applied back to January 1. Filers with net income up to $94,700 use a schedule that starts at 0%.

At $65,000 of wages, that is the 11th-lowest estimated bill of the 42 jurisdictions (including DC) that tax wages.

Its top rate of 3.7% is the 25th-highest among the 26 jurisdictions with progressive brackets.

Rate source: HB 1001 (2026 First Extraordinary Session) (PDF)

Rates range from 2% to 3.7%. We don’t list the full bracket schedule here yet; for exact thresholds, see the official Arkansas tax agency website.

Example: $65,000 salary, single filer

State income tax on a $65,000 salary
Wages	$65,000
Income not taxed (approx. deduction, exemptions, 0% bracket)	−$2,470
Income taxed	$62,530
Average rate used for the estimate	× 3.11%
Estimated Arkansas income tax	$1,945

That works out to about $162 a month, or an effective rate of 2.99% of wages.

Calculators for Arkansas

Paycheck calculator
Take-home pay after federal income tax, Social Security, Medicare, and Arkansas income tax, with Arkansas selected.
Tips and overtime calculator
Your federal deduction for qualified tips and overtime, with Arkansas selected and its state rules applied to the Arkansas estimate.
Senior deduction calculator
A federal deduction of up to $6,000 for each person 65 or older, after the income phase-out.
Car loan interest calculator
A federal deduction for interest on a loan for a new, U.S.-assembled vehicle.

Does Arkansas tax tips and overtime?

Arkansas does not follow the federal tips and overtime deduction. Arkansas taxes wages, salaries, and tips with no subtraction for either deduction. HB 1822 (overtime) died in committee.

Qualified tips and overtime you deduct on your federal return (Schedule 1-A) are still taxed by Arkansas, and our estimate taxes your full wages.

Starts from federal AGI and no state deduction was enacted in 2026. Source: Arkansas DFA: 2025 AR1000F and AR1000NR instructions (PDF), Tax year 2025; Arkansas Legislature: HB 1822, May 5, 2025. Checked October 4, 2026. See how every state treats tips and overtime

To see your federal deduction and Arkansas tax together, open the tips and overtime calculator with Arkansas selected.

Arkansas vs. neighboring states

Workers in Tennessee, Texas, Louisiana, and Mississippi would owe less on the same salary. Missouri and Oklahoma would charge more.

State	Rate	Est. tax on $65,000	vs. Arkansas
Tennessee	No state income tax	$0	−$1,945
Texas	No state income tax	$0	−$1,945
Louisiana	3% flat tax	$1,564	−$381
Mississippi	4% flat tax	$1,868	−$77
Missouri	2%–4.7% progressive	$2,152	+$207
Oklahoma	2.5%–4.5% progressive	$2,364	+$419

Official source

For forms, exact brackets, and filing deadlines, go to the official Arkansas tax agency website.

Missouri2%–4.7% progressive
Oklahoma2.5%–4.5% progressive
Louisiana3% flat tax
Mississippi4% flat tax

All states and DC on the map

Estimates cover Arkansas income tax on wages for a single filer and exclude local taxes and state credits. They are not tax advice. See our disclaimer and how we calculate.