The formulas
- Alaska income tax on wages = $0
How it works
Tax year: 2026.
Alaska has no individual income tax on wages, interest, dividends or capital gains. Residents receive the Permanent Fund Dividend, which is taxable federally but not by Alaska.
Alaska taxes corporations, oil and gas production and fisheries businesses, and many boroughs and cities levy sales and property taxes.
Local taxes: No Alaska borough or city taxes income.
Federal income tax, Social Security and Medicare still apply; see the federal income tax and FICA calculators.
Illustrative figures only. Check the result against your firm's methodology before relying on it.
Common questions
Does Alaska have a state income tax?
No. Alaska has no individual income tax on wages, interest, dividends or capital gains. Residents receive the Permanent Fund Dividend, which is taxable federally but not by Alaska.
Is the Permanent Fund Dividend taxed by Alaska?
No. Alaska has no individual income tax, so the dividend is not taxed by the state. It is reported on the federal return.
Do I still pay federal tax living in Alaska?
Yes. Federal income tax, Social Security and Medicare apply wherever you live.
Sources
Runs in your browser. The figures you type are not sent to CORAA or stored. Check the result against your firm's methodology before relying on it.