Des Moines, IA Taxes 2025
Complete local tax guide and OBBBA calculator
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Des Moines Tax Overview 2025
Iowa's capital with progressive state income tax. Insurance hub.
Local Income Tax
0%
City/county rate
Sales Tax
7.00%
State + local
Property Tax
1.52%
Effective rate
Median Home
$200,000
Home value
No Local Income Tax!
Des Moines 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
Des Moines is located in Iowa (3.8% state income tax)
💼 Des Moines Local Income Tax
Des Moines does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in Iowa) and federal income tax.
This is good news for Des Moines residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in Des Moines
🛒 Des Moines Sales Tax 2025
The combined sales tax rate in Des Moines is 7.00%. This includes both the Iowa sales tax and any local sales taxes.
Sales tax applies to most retail purchases in Des Moines. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on Iowa law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $3.50 | $53.50 |
| $100 | $7.00 | $107.00 |
| $500 | $35.00 | $535.00 |
| $1,000 | $70.00 | $1,070.00 |
🏠 Des Moines Property Tax 2025
The average effective property tax rate in Des Moines is 1.52%. Based on the median home value of $200,000, the typical homeowner pays approximately $3,040 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within Des Moines based on school district and other taxing authorities.
Estimated Annual Property Tax in Des Moines
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $3,040 | $253 | ✓ Yes |
| $300,000 | $4,560 | $380 | ✓ Yes |
| $400,000 | $6,080 | $507 | ✓ Yes |
| $500,000 | $7,600 | $633 | ✓ Yes |
| $750,000 | $11,400 | $950 | ✓ Yes |
| $1,000,000 | $15,200 | $1,267 | ✓ 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.
💰 Des Moines Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for Des Moines Residents
Finance and service 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 Des Moines resident.
Available OBBBA Deductions:
Calculate Your Des Moines Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a Des Moines resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in Des Moines?
The combined sales tax rate in Des Moines is 7.00%. This includes both state and local sales taxes.
Does Des Moines have a local income tax?
Des Moines 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 Des Moines?
The average effective property tax rate in Des Moines is 1.52%. On a home worth $200,000, you'd pay approximately $3,040 per year.
How do OBBBA deductions benefit Des Moines residents?
Finance and service 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.