How does DC’s tax code compare? The District of Columbia has a graduated individual income tax, with rates ranging from 4.00 percent to 10.75 percent. DC has an 8.25 percent corporate income tax rate. DC has a 6.00 percent sales tax rate. DC also has a 0.61 percent effective property tax rate on owner-occupied housing value.
DC has an estate tax. DC has a 35.3 cents per gallon gas tax rate and a $5.03 cigarette excise tax rate (per pack of 20 cigarettes). The District of Columbia collects $14,974 in tax collections per capita. DC has $30,849 in debt per capita and a 113 percent funded ratio of public pension plans. DC’s tax system ranks 48th overall on the 2026 State Tax Competitiveness Index.
Each tax code is a multifaceted system with many moving parts, and DC is no exception. The first step toward understanding the DC tax code is knowing the basics. How does DC collect tax revenue? Click the tabs below to learn more! You can also explore our state tax maps, which are compiled from our annual publication, Facts & Figures 2025: How Does Your State Compare?
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