Taxes in Jackson, Tennessee
Complete tax guide for Jackson, TN. No state income tax, 0.67% property tax, 9.75% sales tax. Calculate your total tax burden.
State Income Tax
None
Tennessee
Property Tax
0.67%
Effective rate
Sales Tax
9.75%
Combined rate
Tax Burden
Very Low
Jackson, TN Tax Overview
No state income tax; West Tennessee hub
Population
68,205
Median Income
$41,218
Cost of Living
82.3 (100 = avg)
State Income Tax
None
Median Home Price
$165,000
Jackson Tax Calculator
Pre-filled with Jackson median: $41,218
Total Tax Burden in Jackson
$6,061
Take-Home: $35,157 · Effective Rate: 14.70%
Federal Tax
$2,908
7.05% eff.
TN State
$0
0.00% eff.
FICA
$3,153
7.65% eff.
Take-Home
$35,157
85.30% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $41,218.00 | $3,434.83 |
| Federal Income Tax | -$2,907.66 | -$242.30 |
| Tennessee State Tax | $0.00 | $0.00 |
| Social Security (6.2%) | -$2,555.52 | -$212.96 |
| Medicare (1.45%) | -$597.66 | -$49.81 |
| Take-Home Pay | $35,157.16 | $2,929.76 |
Property Tax in Jackson
Median Home
$165,000
Annual Tax
$1,106
Monthly Tax
$92
Effective Rate
0.67%
Sales Tax in Jackson
Combined Rate
9.75%
State Portion
~7.3%
Local Portion
~2.5%
The combined sales tax rate in Jackson is 9.75%, which is above the national average of 7.12%. On a $100 purchase, you would pay $9.75 in sales tax.
Tax Burden Comparison
| Tax Type | Jackson | Tennessee Avg | National Avg |
|---|---|---|---|
| Income Tax | None | None | 4.6% |
| Property Tax | 0.67% | ~0.67% | 1.1% |
| Sales Tax | 9.75% | ~9.75% | 7.12% |
| Overall Burden | Very Low | — | Moderate |
Tax Saving Tips for Jackson Residents
- Tennessee has no state income tax, meaning your income is only subject to federal taxes and FICA. Consider investing your tax savings into a Roth IRA for tax-free growth.
- Property tax in Jackson (0.67%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- The combined sales tax rate of 9.75% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
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ModerateCalculate Your Full Tennessee Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Jackson, TN?
Jackson, Tennessee has no state income tax. The property tax rate is 0.67% and the combined sales tax rate is 9.75%. No state income tax; West Tennessee hub
How much is property tax in Jackson?
The effective property tax rate in Jackson is 0.67%. On the median home price of $165,000, this equals approximately $1,106 per year or $92 per month. This is below the national average of 1.1%.
What is the sales tax rate in Jackson?
The combined sales tax rate in Jackson is 9.75%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.
How does Jackson's tax burden compare to other cities?
Jackson has a very low overall tax burden. The effective total tax rate for a median-income household is approximately 22%. The absence of state income tax significantly reduces the overall burden. Cost of living index is 82.3 (100 = national average).
Are there any local taxes in Jackson?
Jackson does not impose a separate local or city income tax. Residents pay no state income tax, federal income tax, and FICA (Social Security and Medicare). No state income tax; West Tennessee hub