Taxes in The District of Columbia

District of Columbia Tax Rates, Collections, and Burdens

How does the DC tax code compare? The District of Columbia (DC) has a graduated individual income tax, with rates ranging from 4.00 percent to 10.75 percent. DC has a flat 8.25 percent corporate income tax rate. DC also has a 6.00 percent sales tax rate. DC’s tax system ranks 48th overall on our 2023 State Business Tax Climate Index.

Each state’s tax code is a multifaceted system with many moving parts, and the District of Columbia is no exception. The first step towards understanding Washington DC’s 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: How Does Your State Compare?

Congress Passes $900 Billion Coronavirus Relief Package

December 21, 2020

Details and Analysis of State and Local Aid Under the Bipartisan State and Local Support and Small Business Protection Act of 2020

December 14, 2020

Wireless Tax Burden Remains High Due to Federal Surcharge Increase

November 17, 2020

2021 State Business Tax Climate Index

October 21, 2020

Top Rates in Each State Under Joe Biden’s Tax Plan

October 20, 2020

New Census Data Shows States Beat Revenue Expectations in FY 2020

September 18, 2020

D.C. Proposal to Include Advertising in Sales Tax Won’t Work as Advertised

July 7, 2020

D.C. Council to Consider Tax Hike Despite Balanced Budget

June 15, 2020

A Visual Guide to Unemployment Benefit Claims

April 2, 2020

Facts and Figures 2020: How Does Your State Compare?

February 13, 2020

D.C. False Claims Act Bill Raises Legal and Practical Concerns

January 28, 2020

Tax Trends at the Dawn of 2020

January 6, 2020

Washington D.C.’s Beverage Excise Tax Is Not Good Policy

November 26, 2019

State Tax Changes as of July 1, 2019

July 11, 2019

D.C. Property Tax Proposals Should Be Mindful of Base Erosion, Target Simplicity, and Transparency

March 28, 2019

Facts and Figures 2019: How Does Your State Compare?

March 19, 2019

2018 Outstanding Achievement in State Tax Reform

October 30, 2018

2019 State Business Tax Climate Index

September 26, 2018

Is Every Tax Cut Kansas?

May 16, 2018

D.C. Proposes Sales Tax Increase, Other Tax Changes