New Hampshire's Interest and Dividends Tax is fully repealed
Accelerated from an original 2027 date. New Hampshire now taxes no personal income of any kind — and levies no sales tax either.
The 3% Interest and Dividends Tax no longer applies for tax periods beginning on or after January 1, 2025. House Bill 2 repealed it, and the repeal was brought forward from its original 2027 date.
It had applied to interest and dividend income above $2,400 for an individual, or $4,800 filing jointly — catching retirees living on portfolio income while leaving wages untouched.
New Hampshire now taxes no personal income at all. Combined with having no general sales tax, that is an unusual position, and it shifts the entire burden onto property tax, where New Hampshire’s rates are among the highest in the country. A great deal of published guidance still describes the I&D tax as current.