Charlotte, NC Taxes 2025
Complete local tax guide and OBBBA calculator
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Charlotte Tax Overview 2025
Growing financial hub with moderate taxes and reasonable housing.
Local Income Tax
0%
City/county rate
Sales Tax
7.25%
State + local
Property Tax
0.93%
Effective rate
Median Home
$370,000
Home value
No Local Income Tax!
Charlotte does not impose a local income tax on residents, which means you only pay state income tax (if applicable) and federal taxes.
State Tax Information
Charlotte is located in North Carolina (4.75% state income tax)
💼 Charlotte Local Income Tax
Charlotte does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in North Carolina) and federal income tax.
This is good news for Charlotte residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in Charlotte
🛒 Charlotte Sales Tax 2025
The combined sales tax rate in Charlotte is 7.25%. This includes both the North Carolina sales tax and any local sales taxes.
Sales tax applies to most retail purchases in Charlotte. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on North Carolina law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $3.63 | $53.63 |
| $100 | $7.25 | $107.25 |
| $500 | $36.25 | $536.25 |
| $1,000 | $72.50 | $1,072.50 |
🏠 Charlotte Property Tax 2025
The average effective property tax rate in Charlotte is 0.93%. Based on the median home value of $370,000, the typical homeowner pays approximately $3,441 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within Charlotte based on school district and other taxing authorities.
Estimated Annual Property Tax in Charlotte
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $1,860 | $155 | ✓ Yes |
| $300,000 | $2,790 | $233 | ✓ Yes |
| $400,000 | $3,720 | $310 | ✓ Yes |
| $500,000 | $4,650 | $388 | ✓ Yes |
| $750,000 | $6,975 | $581 | ✓ Yes |
| $1,000,000 | $9,300 | $775 | ✓ Yes |
💡 SALT Tip: Under the OBBBA, you can deduct up to $40,000 in state and local taxes (SALT) on your federal return. This includes property taxes, state income taxes, and local income taxes.
💰 Charlotte Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for Charlotte Residents
Banking and service sector workers benefit from OBBBA deductions.
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, introduced several federal tax deductions that can significantly reduce your tax burden as a Charlotte resident.
Available OBBBA Deductions:
Calculate Your Charlotte Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a Charlotte resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in Charlotte?
The combined sales tax rate in Charlotte is 7.25%. This includes both state and local sales taxes.
Does Charlotte have a local income tax?
Charlotte has a local income tax of 0%. This is in addition to any state and federal income taxes.
What is the property tax rate in Charlotte?
The average effective property tax rate in Charlotte is 0.93%. On a home worth $370,000, you'd pay approximately $3,441 per year.
How do OBBBA deductions benefit Charlotte residents?
Banking and service sector workers benefit from OBBBA deductions. You can use our free calculator to estimate your total savings from tips, overtime, auto loan interest, SALT, and senior bonus deductions.