Modesto, CA Taxes 2025
Complete local tax guide and OBBBA calculator
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Modesto Tax Overview 2025
Central Valley city with more affordable California housing.
Local Income Tax
0%
City/county rate
Sales Tax
8.38%
State + local
Property Tax
0.82%
Effective rate
Median Home
$400,000
Home value
No Local Income Tax!
Modesto 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
Modesto is located in California (1% - 13.3% state income tax)
💼 Modesto Local Income Tax
Modesto does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in California) and federal income tax.
This is good news for Modesto residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in Modesto
🛒 Modesto Sales Tax 2025
The combined sales tax rate in Modesto is 8.38%. This includes both the California sales tax and any local sales taxes.
Sales tax applies to most retail purchases in Modesto. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on California law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $4.19 | $54.19 |
| $100 | $8.38 | $108.38 |
| $500 | $41.90 | $541.90 |
| $1,000 | $83.80 | $1,083.80 |
🏠 Modesto Property Tax 2025
The average effective property tax rate in Modesto is 0.82%. Based on the median home value of $400,000, the typical homeowner pays approximately $3,280 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within Modesto based on school district and other taxing authorities.
Estimated Annual Property Tax in Modesto
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $1,640 | $137 | ✓ Yes |
| $300,000 | $2,460 | $205 | ✓ Yes |
| $400,000 | $3,280 | $273 | ✓ Yes |
| $500,000 | $4,100 | $342 | ✓ Yes |
| $750,000 | $6,150 | $513 | ✓ Yes |
| $1,000,000 | $8,200 | $683 | ✓ 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.
💰 Modesto Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for Modesto Residents
Agricultural 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 Modesto resident.
Available OBBBA Deductions:
Calculate Your Modesto Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a Modesto resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in Modesto?
The combined sales tax rate in Modesto is 8.38%. This includes both state and local sales taxes.
Does Modesto have a local income tax?
Modesto 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 Modesto?
The average effective property tax rate in Modesto is 0.82%. On a home worth $400,000, you'd pay approximately $3,280 per year.
How do OBBBA deductions benefit Modesto residents?
Agricultural 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.