Updated for tax year 2025.
If you live or work in New York, you’ll likely need to file a New York state income tax return along with your federal return. New York has a progressive income tax system with nine tax rates, so the amount you owe depends on your filing status and taxable income.
This guide explains New York’s 2025 income tax rates and brackets, standard deduction, available exemptions and credits, and the updates for the current tax year. When you’re ready to file, TaxAct® automatically applies New York’s tax rules to help you accurately prepare your New York return alongside your federal return.
What is the New York state income tax?
New York state income tax is a tax on income earned by individuals and certain businesses. It is collected by the New York State Department of Taxation and Finance and helps fund state services.
Unlike states with a flat income tax, New York uses a progressive tax system, meaning different portions of your taxable income are taxed at different rates. For tax year 2025, New York continues to use nine income tax brackets ranging from 4% to 10.9%. Depending on where you live, you may also owe local income tax, such as New York City or Yonkers income tax, in addition to New York State income tax.
New York income tax rates and tax brackets
New York’s state income taxes are based on nine tax brackets. Here is a look at the New York tax brackets (2023-2028) based on filing status:
| Tax Rate | Married Filing Jointly/Surviving Spouse | Head of household | Single/Married Filing Separately/Estates and Trusts |
|---|---|---|---|
| 4% | Up to $17,150 | Up to $12,800 | Up to $8,500 |
| 4.5% | $17,151-$23,600 | $12,801-$17,650 | $8,501-$11,700 |
| 5.25% | $23,601-$27,900 | $17,651-$20,900 | $11,701-$13,900 |
| 5.5% | $27,901-$161,550 | $20,901-$107,650 | $13,901-$80,650 |
| 6% | $161,551-$323,200 | $107,651-$269,300 | $80,651-$215,400 |
| 6.85% | $323,201-$2,155,350 | $269,301-$1,616,450 | $215,401-$1,077,550 |
| 9.65% | $2,155,351-$5,000,000 | $1,616,451-$5,000,000 | $1,077,551-$5,000,000 |
| 10.3% | $5,000,001-$25,000,000 | $5,000,001-$25,000,000 | $5,000,001-$25,000,000 |
| 10.9% | Over $25,000,000 | Over $25,000,000 | Over $25,000,000 |
If you need more information on how federal tax brackets work, you can use our tax bracket calculator for federal taxes.
New York standard deduction
New York allows a standard deduction that reduces your New York taxable income. For tax year 2025, the New York standard deduction amounts are:
- $8,000 for single filers who cannot be claimed as a dependent on another taxpayer’s federal return
- $3,100 for single filers who can be claimed as a dependent on another taxpayer’s federal return
- $16,050 for married filing jointly
- $8,000 for married filing separately
- $11,200 for head of household (with qualifying person)
- $16,050 for qualifying surviving spouse
You may claim the New York standard deduction or itemize on your New York return, depending on which option gives you the better result under New York rules.
New York exemptions
New York does not use a traditional personal exemption the way some states do. Instead, New York offers tax credits and other adjustments that may reduce what you owe. One of the most common is the Empire State child credit, which was enhanced for tax year 2025.
For 2025, eligible full-year New York residents may claim the Empire State child credit for qualifying children under age 17, subject to income phase-outs and other eligibility rules. You generally claim this credit by filing Form IT-213 with your New York return. To claim the credit, you must provide a valid Social Security number (SSN) or individual taxpayer identification number (ITIN) for both you and each qualifying child.
Read more about other New York tax credits.
New York tax changes for 2025
- Enhanced Empire State child credit: up to $1,000 per qualifying child under age 4 and up to $330 per qualifying child ages 4-16 for eligible full-year residents.
- For tax years 2026 and 2027, the Empire State child credit for qualifying children ages 4-16 will increase to $500.
Outside of credit updates and other targeted law changes, New York’s core progressive bracket structure remains in place for 2025.
Live in New Jersey but work in New York?
If you live in New Jersey but work in New York, you are required to file a Form IT-203, Nonresident and Part-Year Resident Income Tax Return, if you want a refund of all New York income tax withheld from your pay. This will avoid double taxation of your income by both New York and New Jersey.
For more detailed information on this topic, check out Tax Reciprocity: How to File Taxes When You Live and Work in Different States. You can also check out this page of FAQs for New York State in particular.
FAQs
The bottom line
New York has a progressive state income tax with nine 2025 tax rates ranging from 4% to 10.9%. Knowing the New York income tax brackets, standard deduction, and available credits can help you estimate what you may owe — and what you may get back.
When you’re ready to file, TaxAct can help you prepare your federal and New York returns in one place so you can file with confidence. Already filed your taxes and waiting for your refund? Learn more about where your New York state tax refund is.
This article is for informational purposes only and not legal or financial advice.
All TaxAct offers, products and services are subject to applicable terms and conditions.
Citations
New York State Department of Taxation and Finance. “2025 standard deductions.” Updated 23 Oct. 2025.
New York State Department of Taxation and Finance. “Empire State child credit.” Accessed 17 July 2026.
New York State Department of Taxation and Finance. “Summary of 2025 corporation tax and personal income tax changes.” Accessed 17 July 2026.
TaxAct. “Working Families Tax Cuts Act: 2025 Tax Reform Explained.” TaxAct Blog.
TaxAct. “Where’s My New York State Tax Refund?” TaxAct Blog, 24 Jan. 2026.