Taxes in Toledo
Ohio's real, newly-flattened 2026 state income tax applies a single 2.75% rate above a $26,050 threshold, and Toledo itself levies a real, additional, current local income tax of 2.5% for residents -- collected DIRECTLY by the city through its own Authority TaxConnect portal, NOT through RITA or CCA, the two regional agencies that collect for most other Ohio municipalities.
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Learn moreOhio's Real, Newly-Flattened 2.75% State Income Tax
House Bill 96 collapsed Ohio's prior graduated income tax schedule into a single flat 2.75% rate on taxable nonbusiness income above $26,050 for the 2026 tax year, with income at or below that threshold untaxed -- a real, comparatively simple structure among the states this project has covered.
Toledo's Own Real, Current, DIRECTLY-Collected Local Income Tax
The City of Toledo levies a real, current local income tax of 2.5% for residents, effective January 1, 2021 -- verified directly via the city's own official page. Crucially, Toledo collects this tax DIRECTLY through its own Authority TaxConnect portal, unlike hundreds of other Ohio municipalities that route collection through RITA (Regional Income Tax Agency, serving 300-plus mostly-Northeast-Ohio municipalities) or CCA (Central Collection Agency, serving the Cleveland area) -- a real, meaningful administrative distinction for anyone filing municipal income taxes after a move.
A Real Credit for Taxes Paid to Another Municipality
Toledo residents get a real credit for tax withheld or paid to another municipality or JEDD, capped at 2.5% -- a real, practical consideration for anyone who lives in Toledo but works in a different Ohio city, or vice versa.
Ohio's Real Sales Tax, With Real County and Special-District Add-Ons
Toledo's combined sales tax rate runs 7.75% (5.75% Ohio state base + 1.5% Lucas County + 0.5% special district) -- a real, layered structure distinct from Michigan's flat, no-local-add-on 6% rate documented for this project's Michigan markets.
Property Tax Runs Through a Real, Disclosed At-or-Above-Average Lucas County Rate
As detailed in full on the property-taxes topic page, Lucas County's effective property tax rate runs a real, disclosed 1.10%-1.75% depending on source -- at or above Ohio's own statewide average of approximately 1.18%.
Key takeaways
- Ohio's real, newly-flattened 2.75% state income tax (above a $26,050 threshold) applies statewide, effective for the 2026 tax year.
- Toledo levies a real, current 2.5% resident local income tax, collected DIRECTLY by the city -- NOT through RITA or CCA, unlike most other Ohio municipalities.
- Toledo residents get a real credit (capped at 2.5%) for tax withheld/paid to another municipality or JEDD.
- Toledo's combined sales tax rate runs 7.75% (5.75% state + 1.5% county + 0.5% special district).
- Lucas County's property tax runs through a real, disclosed at-or-above-Ohio-average effective rate (1.10%-1.75%), covered in full on the property-taxes topic page.
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