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Taxes in Marion, Iowa

Complete tax guide for Marion, IA. State income tax up to 5.7%, 1.58% property tax, 8.41% sales tax. Calculate your total tax burden.

State Income Tax

5.7%

Iowa

Property Tax

1.58%

Effective rate

Sales Tax

8.41%

Combined rate

Tax Burden

Moderate

Marion, IA Tax Overview

Population

41,265

Median Income

$59,700

Cost of Living

81 (100 = avg)

State Income Tax

5.7%

Median Home Price

$175,000

Marion Tax Calculator

Pre-filled with Marion median: $59,700

Total Tax Burden in Marion

$13,095

Take-Home: $46,605 · Effective Rate: 21.94%

Federal Tax

$5,126

8.59% eff.

IA State

$3,403

5.70% eff.

FICA

$4,567

7.65% eff.

Take-Home

$46,605

78.06% kept

Tax Breakdown

Take-Home 78.06%
Federal
IA
FICA
Take-Home Federal Tax IA State Tax FICA
ItemAnnualMonthly
Gross Income$59,700.00$4,975.00
Federal Income Tax-$5,125.50-$427.13
Iowa State Tax-$3,402.90-$283.58
Social Security (6.2%)-$3,701.40-$308.45
Medicare (1.45%)-$865.65-$72.14
Take-Home Pay$46,604.55$3,883.71

Property Tax in Marion

Median Home

$175,000

Annual Tax

$2,765

Monthly Tax

$230

Effective Rate

1.58%

vs. National Average (1.1%)+$840/yr
Median Property Tax Paid$2,765/yr

Sales Tax in Marion

Combined Rate

8.41%

State Portion

~5.9%

Local Portion

~2.5%

The combined sales tax rate in Marion is 8.41%, which is above the national average of 7.12%. On a $100 purchase, you would pay $8.41 in sales tax.

Tax Burden Comparison

Tax TypeMarionIowa AvgNational Avg
Income Tax5.7%5.7%4.6%
Property Tax1.58%~1.58%1.1%
Sales Tax8.41%~8.41%7.12%
Overall BurdenModerateModerate

About Taxes in Marion

Marion has a population of approximately 41,265 residents with a median household income of $59,700. The cost of living index is 81 (19.0% lower than the national average of 100).

Tax burden classification: Moderate. Effective combined tax rate of 28.1% includes federal, state, FICA, property, and sales taxes for a typical Marion household.

Official Tax Resources for Iowa

For authoritative Iowa tax forms, filing deadlines, and the latest legislative updates, consult these official government resources:

Tax Saving Tips for Marion Residents

  • Iowa's income tax rate of 5.7% is above average. Maximize pre-tax retirement contributions (401k up to $23,500, IRA up to $7,000) to reduce both federal and state taxable income.
  • Property tax in Marion (1.58%) is above the national average. Check if you qualify for homestead exemptions or assessment appeals to reduce your property tax bill.
  • The combined sales tax rate of 8.41% 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 ($4,400 individual, $8,750 family), growth is tax-free, and withdrawals for medical expenses are tax-free.

Sources & Methodology

Tax rate data on this page is compiled from official government sources and updated for the 2026 tax year. Calculations follow the IRS-published 2026 federal tax brackets, FICA rates (6.2% Social Security up to $176,100 wage base, 1.45% Medicare), and Iowa state tax provisions. Property tax estimates use Marion's median home value of $175,000and the local effective property tax rate of 1.58%.

Disclaimer: Estimates are for informational purposes only. Actual tax liability depends on filing status, deductions, credits, and individual circumstances. Consult a licensed tax professional or your state revenue agency for binding tax guidance.

Reviewed by LevyIO Tax Research Team · Published 2026-01-15 · Last updated 2026-04-30

Calculate Your Full Iowa Tax Burden

See detailed state tax brackets, FICA breakdown, and compare to neighboring states.

Frequently Asked Questions

What are the tax rates in Marion, IA?

Marion, Iowa has a state income tax rate up to 5.7%. The property tax rate is 1.58% and the combined sales tax rate is 8.41%.

How much is property tax in Marion?

The effective property tax rate in Marion is 1.58%. On the median home price of $175,000, this equals approximately $2,765 per year or $230 per month. This is above the national average of 1.1%.

What is the sales tax rate in Marion?

The combined sales tax rate in Marion is 8.41%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.

How does Marion's tax burden compare to other cities?

Marion has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 28.1%. The combination of 5.7% state income tax, 1.58% property tax, and 8.41% sales tax determines the total burden. Cost of living index is 81 (100 = national average).

Are there any local taxes in Marion?

Marion does not impose a separate local or city income tax. Residents pay the state income tax of 5.7%, federal income tax, and FICA (Social Security and Medicare).