Ohio Moves to a Flat Tax

Starting in 2026, OH will move to a flat tax. The rate will be 2.75% on income over $26,050. This does not change the municipal or school district taxes that are charged on almost every jurisdiction in OH

Flat tax approaches can sometimes be confusing. PA has the only true flat tax. 3.07% on the first dollar, whereas OH and others with a “flat tax” regime have exemptions and standard deductions before the flat rate kicks in.