New Hampshire / State / 2021 Regular Session
Laws of New Hampshire 2021, chapter 91, section 99, II Repealed the interest and dividends tax, leaving New Hampshire with no personal income tax
No change to benefits Repeals a general tax on interest and dividends that never reached military retired pay or other earned income; no veteran benefit changes.
Repealed RSA 77 in its entirety effective January 1, 2025. The interest and dividends tax was the only New Hampshire tax on personal income; the state has never taxed wages or other earned income. For a taxable period beginning on or after January 1, 2025 there is no New Hampshire tax on interest, dividends, capital gains, wages, pensions, military retired pay, Survivor Benefit Plan annuities or any other personal income, and no personal return to file. Tracked because a great deal of published material still describes New Hampshire as taxing interest and dividends at 5 percent or at a phased-down rate, and because the absence of a personal income tax is the structural reason New Hampshire delivers all of its veteran tax relief as local property tax credits under RSA 72 rather than as refundable income tax credits the way several other states in this catalog do.
Progress
Path to law: Bill in a two-chamber legislature
- Introduced Done, House
- In committee Done, House Finance, then Senate Finance
- Passed one chamber Done, House, 200-181
- Passed both chambers Done, Committee of conference report adopted, Senate 14-10 and House 198-181
- Signed by the governor Done, The interest and dividends tax repeal effective January 1, 2025
- In effect Done,
Sponsors
- Kenneth Weyler
- Jess Edwards
- Karen Umberger
- Lynne Ober
What it touches
- N.H. Rev. Stat. Ann. ch. 77
Catalog entry
Official record
Read Laws of New Hampshire 2021, chapter 91, section 99, II on the jurisdiction's own record