New Hampshire State Taxes: A Simple Guide

🍁Income tax on interest and dividends

New Hampshire does not have a broad income tax on wages and salaries. Historically, it has taxed certain interest and dividend income above specific thresholds (and this area has been evolving over time).

• ✓Most wage earners do not pay a New Hampshire tax on their paychecks.
• •Depending on the year and current law, people with significant investment income may need to file a New Hampshire return for interest and dividends.

Note: Because this area can change, check current New Hampshire Department of Revenue Administration guidance for exact rules and thresholds.

✅No general state sales tax

New Hampshire does not impose a general statewide sales tax on most retail purchases. That means:

• ✓You usually will not see a state sales tax line at checkout.
• •Certain specific taxes or fees may still apply (for example, on rooms and meals, or other specialized transactions).

Note: This guide focuses on the broad picture and does not cover every specialized tax or fee in New Hampshire.

🏡Property taxes

New Hampshire relies heavily on local property taxesto fund schools and local government services. Property taxes are set and collected by cities and towns, based on assessed real property values.

• •Homeowners receive property tax bills from their municipality.
• •Property tax rates and assessments vary significantly by town and school district.
• •Some taxpayers may qualify for exemptions or credits, particularly for a primary residence or for certain age/income brackets.

🔗Putting New Hampshire taxes together

A typical New Hampshire resident may see:

• •Federal income tax (Form 1040)
• •Possible New Hampshire tax on interest and dividend income, if applicable under current law
• ✓No broad state sales tax on most purchases
• •Local property taxes if they own a home

Understanding basic filing rules at the federal level makes it easier to see how New Hampshire's unique approach fits into your overall tax picture.