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State tax docs / States / Maine

Maine state income tax: engine rules, 2026

How the QuantCalc engine computes Maine tax for tax year 2026, rule by rule, with the official source for each rule. Verification status: Worksheet-tested (what this means).

On this page: How the tax is computed · Rate schedule · Deductions, exemptions and credits · Social Security · IRA, 401(k) and private pensions · Public pensions · Military retirement pay · Roth conversions · Capital gains · Surtaxes and recapture · Worked examples · Not calculated · Verification. Machine-readable: this state's entry in the engine config and the provenance file (key ME).

How the tax is computed

Every step the engine takes for Maine, in the order it takes them. Steps marked with a filing status or household type apply only there. Each step links the section below that carries Maine's figures and the official sources for it; the calculation order page describes every step for all jurisdictions.

What each filing status gets, read back from the engine for a household with $1 of income (so below every phase-out and income test):

SingleMarried filing jointlyMarried filing separatelyHead of household
Rate schedule usedsingle schedulejoint schedulesingle schedulehead-of-household schedule
Top rate7.15% from $64,8507.15% from $129,7507.15% from $64,8507.15% from $97,300
Standard deduction, under 65$15,700$31,400$15,700$23,550
Standard deduction at 70 (joint: both 70)$17,750$34,700$17,350$25,600
Personal exemption$5,300$10,600$5,300$5,300
Age subtractions at 70 (joint: both 70)nonenonenonenone
  1. Per-person mode joint returns with the spouse's age given On a joint return with the spouse's age given, every age test the state applies per taxpayer is evaluated for each spouse at their own age. Without it one household age applies to both.
    engine step (compute_state_tax_detail). Engine convention, no external source: The engine cannot know the second spouse's age unless told.
  2. Rate schedule and standard deduction by filing status Single uses the single schedule and deduction; married filing jointly the joint ones. Head of household and married filing separately follow the two steps below.
    Maine's values · engine step (select_brackets). Sources (Rate schedule): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  3. Married filing separately Where the state publishes its own separate schedule, that one (with half the joint deduction unless a separate deduction is set). Where one schedule applies to every status, that schedule unscaled with the single deduction. Otherwise the joint schedule with every threshold and the deduction halved (computed as the joint tax on twice the income, halved).
    Maine's values · engine step (select_brackets). Sources (Rate schedule): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  4. Head of household The state's head-of-household schedule where it has one, else the single schedule; the head-of-household deduction where set, else the single deduction.
    Maine's values · engine step (select_brackets). Sources (Rate schedule): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  5. The income total every income test uses Other ordinary income + retirement distributions (before any exclusion) + conversion + federally taxable Social Security + long-term gains. It stands in for federal adjusted gross income in every threshold, cliff and phase-out below; state subtractions do not reduce it.
    engine step (compute_state_tax_detail). Engine convention, no external source: The inputs are the federal AGI components, so their sum is federal AGI for these income types.
  6. Attributing income to each spouse joint returns with each spouse's own amounts given With a caller's split (the API's spouse object), each spouse's own distributions, pension, public pension, conversion, wages and military pay; spouse 2's shares are clamped into the household totals and spouse 1 gets the rest. Without a split, in per-person mode, every item is divided 50/50. Social Security, other ordinary income and gains are always divided 50/50 where a rule needs a per-person amount. The split is used only where a state's rule is per taxpayer; household totals stay authoritative for the base and the income tests.
    engine step (compute_state_tax_detail). Engine convention, no external source: Equal attribution is the neutral split when the owner of a dollar is not known.
  7. Keeping the per-spouse shares inside the household joint returns with each spouse's own amounts given After the public-pension and employer-pension carve-outs, if the two spouses' remaining shares add up to more than the household's exclusion-eligible distributions (an inconsistent split), spouse 1's share is reduced so they do not.
    engine step (compute_state_tax_detail). Engine convention, no external source: Input normalisation.
  8. Military retirement pay The state's military rule runs first, on military pay alone, per taxpayer: each spouse's own pay at their own age when attributed, otherwise half each at the household age on a joint return. Exempt dollars leave the base; the rest become pension dollars for the general retirement rules.
    Maine's values · engine step (compute_state_tax_detail). Sources (Military retirement pay): Individual income tax (checked 2026-09-27); Title36sec5122 (checked 2026-09-27)
  9. One taxpayer's military exemption Exempt: all of it (below the age split, up to the younger cap). Capped: up to the cap for the age tier, plus the earned-income bonus below the age split when the taxpayer's own wages exceed the threshold, less the taxpayer's own Social Security where the rule says so. Percentage: the percentage (below the age split, up to the younger cap). Then the income limit: above it the exemption is lost, or phased out over the range where one is set.
    Maine's values · engine step (military_exempt_one). Sources (Military retirement pay): Individual income tax (checked 2026-09-27); Title36sec5122 (checked 2026-09-27)
  10. Social Security exempt None of the federally taxable benefit enters the base.
    Maine's values · engine step (ss_amount_in_state_base). Sources (Social Security): 2025 Form 1040ME General Instructions (checked 2026-09-27)
  11. Retirement exclusion per spouse (both ages known) joint returns with the spouse's age given Full-exclusion states exclude each qualifying spouse's own dollars. Capped states give each spouse the single cap for their own age against their own eligible dollars (pension dollars only where the exclusion is pension-only; employer dollars only below the IRA age), less their military exclusion and half of any Social Security offset. Per-return states (and the pooled-if-both-qualify rule when both qualify) apply the joint cap to the couple's pooled eligible dollars when either spouse qualifies. The income tests then apply once to the summed deduction.
    Maine's values · engine step (compute_state_tax_detail). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  12. Retirement exclusion (household) The distributions eligible for the exclusion go through the exclusion below. Taxable public-pension dollars left by a cap are not eligible; below the IRA age only employer-plan dollars are.
    Maine's values · engine step (compute_state_tax_detail). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  13. Conversion taxed or exempt In full-exclusion states a conversion is exempt at the qualifying age (at any age where the state says so). Elsewhere, unless pooled above, it is ordinary income taxed in full.
    Maine's values · engine step (compute_state_tax_detail). Sources (Roth conversions): 2025 Form 1040ME General Instructions (checked 2026-09-27)
  14. Income limit on the exclusion When the income total (Social Security left out where the state says so) exceeds the limit, the exclusion is lost (a cliff), reduced dollar for dollar after the cap (subtractive), or phased out in proportion over the range.
    Maine's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  15. Cap by age tier The full cap at or above the exclusion age, the lower cap at or above the partial age, otherwise none. Joint returns use the joint cap; every other status the single cap.
    Maine's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  16. Cap reduced by Social Security The cap is reduced dollar for dollar by Social Security received: gross benefits when supplied, otherwise the federally taxable amount.
    Maine's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  17. The capped deduction Deduction = the smaller of the eligible distributions and the cap, then reduced by the income limit above; the rest of the distributions stays in the base.
    Maine's values · engine step (retirement_distributions_in_state_base). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  18. One taxpayer's cap joint returns with the spouse's age given For per-spouse calculations, each spouse's cap is the single-column cap for their age tier.
    Maine's values · engine step (per_taxpayer_cap_single). Sources (IRA, 401(k) and private pensions): 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2025 Form 1040ME General Instructions (checked 2026-09-27); 2025 Form 1040ME Schedule 1S (Income Subtraction Modifications) with Pension Income Deduction Worksheet (checked 2026-09-27)
  19. Long-term gains in the base Where gains are taxed as ordinary income: net long-term gain less the flat exclusion (never below zero), times the inclusion share. Elsewhere none enters.
    Maine's values · engine step (compute_state_tax_detail). Sources (Capital gains): 2025 Form 1040ME General Instructions (checked 2026-09-27); State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  20. Additional standard deduction at 65 The unmarried amount for a single or head-of-household filer 65 or older, the married amount for each spouse 65 or older, added to the standard deduction before any phase-out.
    Maine's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27); 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6a: Phaseout of Itemized / Standard Deductions Worksheet (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6b: Phaseout of Personal Exemption Deduction Amount Worksheet (checked 2026-09-27)
  21. Standard deduction phase-out Above the start the deduction is scaled by 1 − (income − start) / width, down to zero, with head-of-household and separate starts where the state has them; where the state says so a head of household never gets less than the single deduction at the same income.
    Maine's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27); 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6a: Phaseout of Itemized / Standard Deductions Worksheet (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6b: Phaseout of Personal Exemption Deduction Amount Worksheet (checked 2026-09-27)
  22. Personal exemption The joint amount on a joint return, the head-of-household amount where set, otherwise the single amount.
    Maine's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27); 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6a: Phaseout of Itemized / Standard Deductions Worksheet (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6b: Phaseout of Personal Exemption Deduction Amount Worksheet (checked 2026-09-27)
  23. Exemption phase-out Above the filing status's start the exemption is scaled by 1 − (income − start) / range, down to zero.
    Maine's values · engine step (compute_state_tax_detail). Sources (Deductions, exemptions and credits): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27); 2026 Form 1040ES-ME Estimated Tax for Individuals (revised July 2026) (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6a: Phaseout of Itemized / Standard Deductions Worksheet (checked 2026-09-27); 2026 Estimated Tax Worksheet, Line 6b: Phaseout of Personal Exemption Deduction Amount Worksheet (checked 2026-09-27)
  24. State taxable income Other ordinary income + Social Security, retirement income, conversion and gains left in the base − standard deduction − personal exemption − age subtractions.
    engine step (compute_state_tax_detail). Engine convention, no external source: The order of subtraction follows the state forms; each amount is sourced at its own step.
  25. No tax at or below zero State taxable income at or below zero returns a tax of 0 (credits are not refundable and nothing below applies).
    engine step (compute_state_tax_detail). Engine convention, no external source: Every credit the engine carries is nonrefundable, so nothing below can make a zero tax negative; each credit is sourced at its own step.
  26. Separate-return scaling married filing separately For the halved-joint rule, taxable income is doubled before the schedule and the result halved.
    Maine's values · engine step (compute_state_tax_detail). Sources (Rate schedule): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  27. The rate schedule Each bracket's rate on the part of taxable income inside it, summed. No rounding: the result is carried in full precision.
    Maine's values · engine step (apply_state_brackets). Sources (Rate schedule): State of Maine 2026 Individual Income Tax Rates (revised May 20, 2026) (checked 2026-09-27)
  28. Credits cannot make the tax negative The credits are subtracted and the result floored at zero.
    engine step (compute_state_tax_detail). Engine convention, no external source: Every credit the engine carries is nonrefundable; each credit is sourced at its own step.
  29. Surtax on high income The rate times state taxable income over the filing status's threshold.
    Maine's values · engine step (compute_state_tax_detail). Sources (Surtaxes and recapture): Ind tax rate sched 2026 rev (checked 2026-09-27)

Rate schedule

Single

Taxable income fromtoRate
$0$27,4005.8%
$27,400$64,8506.75%
$64,850and up7.15%

Married filing jointly

Taxable income fromtoRate
$0$54,8505.8%
$54,850$129,7506.75%
$129,750and up7.15%

Head of household

Taxable income fromtoRate
$0$41,1005.8%
$41,100$97,3006.75%
$97,300and up7.15%

Married filing separately: one schedule applies to every filing status, so the engine uses it unscaled with the single deduction.

Deductions, exemptions and credits

  • Standard deduction (or the exemption the engine carries in its place): $15,700 single, $31,400 married filing jointly, $23,550 head of household.
  • The standard deduction includes $2,050 more for a single or head-of-household filer 65 or older, and $1,650 more for each spouse 65 or older on a married return; the phase-out below applies to the whole deduction.
  • The standard deduction phases out ratably as income rises above $102,250 (single) and $204,550 (MFJ), reaching zero $75,000 and $150,000 above those points; head of household from $153,400 over $112,500.
  • Personal exemption, subtracted in addition: $5,300 single, $10,600 MFJ.
  • The personal exemption phases out ratably as income rises above $341,000 (single), $375,050 (head of household), $409,150 (MFJ) and $204,575 (married filing separately), reaching zero $125,000 above those points ($62,500 for married filing separately).

Social Security

Social Security benefits are fully exempt: none of the federally taxable amount enters the state base.

API value: socialSecurityRule: "exempt". The engine's input is the federally taxable amount; income tests use the sum of the income components as the adjusted-gross-income proxy.

IRA, 401(k) and private pensions

  • Pension, annuity and IRA/401(k) distributions: up to $49,824 excluded per taxpayer ($99,648 on a joint return) at any age.
  • When income exceeds $125,000 (single) / $250,000 (MFJ), the exclusion phases out in proportion over the next $100,000 ($100,000 MFJ).
  • The cap is reduced dollar for dollar by Social Security received (gross benefits when supplied, otherwise the federally taxable amount).
  • Joint returns: the cap is per taxpayer. With the spouse's age given (couples), each spouse's own dollars are tested against that spouse's own age and cap; without it one household age applies and the $99,648 joint cap covers pooled income.

Source review notes (what the sources do not state outright, or what the engine does not carry):

Public pensions

No separate treatment: public pensions follow the rules for other retirement income above.

Military retirement pay

  • Military retirement pay is fully exempt, at any age.
  • Rules are applied per taxpayer at that person's own age when the spouse's age is given. API value: rules.militaryRetirement.treatment: "exempt".

Roth conversions

A conversion is taxed as ordinary income in full. It does not draw any retirement-income exclusion.

Capital gains

  • Net long-term gain is taxed as ordinary income.
  • Short-term gains are ordinary income.

Source review notes (what the sources do not state outright, or what the engine does not carry):

Surtaxes and recapture

  • An extra 2% on taxable income over $1,000,000 single ($1,500,000 joint, $1,500,000 head of household, $750,000 married filing separately); the threshold is indexed for inflation.

Worked examples

Computed by the engine for the fixed households below (the same ones for every state, so states compare directly). Federal tax is not supplied, so a federal-tax deduction is not taken; the income tests use the sum of the components as income.

Household (engine inputs)State tax
Single, 67: $30,000 private pension, $20,000 IRA, $10,000 interest, $24,000 Social Security ($17,000 federally taxable), $5,000 long-term gain$935.31
Married filing jointly, 70: $40,000 public pension, $40,000 IRA, $20,000 interest, $40,000 Social Security ($34,000 federally taxable), $10,000 long-term gain$293.02
Single, 60: $60,000 other ordinary income and a $50,000 Roth conversion$5,959.80
Married filing jointly, 66: $30,000 IRA, a $40,000 Roth conversion, $30,000 Social Security ($25,500 federally taxable)$0
Single, 58: $36,000 military retirement pay and $30,000 wages$522
Married filing jointly, ages 67 and 61: $50,000 IRA, $10,000 interest, $30,000 Social Security ($25,500 federally taxable), each spouse's age given$0

Line by line

The intermediate lines the engine records while it computes each example (its detail record, printed as it comes out; lines that are zero are left out). The engine's documentation build checks that the lines add up to the taxable income and the tax, for every state, filing status and a grid of households. Each line links the engine step that produces it.

Single, 67: $30,000 private pension, $20,000 IRA, $10,000 interest, $24,000 Social Security ($17,000 federally taxable), $5,000 long-term gain: $935.31
Married filing jointly, 70: $40,000 public pension, $40,000 IRA, $20,000 interest, $40,000 Social Security ($34,000 federally taxable), $10,000 long-term gain: $293.02
Single, 60: $60,000 other ordinary income and a $50,000 Roth conversion: $5,959.80
Married filing jointly, 66: $30,000 IRA, a $40,000 Roth conversion, $30,000 Social Security ($25,500 federally taxable): $0
Single, 58: $36,000 military retirement pay and $30,000 wages: $522
Married filing jointly, ages 67 and 61: $50,000 IRA, $10,000 interest, $30,000 Social Security ($25,500 federally taxable), each spouse's age given: $0

What the engine does not calculate, and known approximations

What the engine does not calculate for any state (itemized deductions, credits beyond those listed, part-year residents, dependents, blindness and disability, and more) is listed on the calculation order page.

Verification

Worksheet-tested Golden rows follow the Form 1040ME instructions, including the Schedule 1S pension deduction and its conversion rule.