Maine — Personal Income Tax

Every Maine resident individual must file a Maine income tax return if (A) required to file a federal income tax return for the taxable year, or (B) has a Maine individual income tax liability for the taxable year. An exception applies to residents who do not have Maine income tax liability and filed a federal return solely to claim the earned income credit under Internal Revenue Code Section 32. Part-year residents who change residency status during the taxable year must file a nonresident return, with tax computed as if they were a nonresident using an apportionment ratio that includes both resident and nonresident Maine-source income for the year.

Source: Me. Rev. Stat. tit. 36, § 5220

Maine defines "resident individual" as either (A) an individual domiciled in Maine, or (B) an individual not domiciled in Maine who maintains a permanent place of abode in the state and spends more than 183 days of the taxable year in Maine. The 183-day statutory-residency rule does not apply to individuals in the Armed Forces of the United States. A domiciled resident who does not maintain a permanent place of abode in Maine, maintains one elsewhere, and spends 30 days or fewer in Maine during the taxable year is not treated as a Maine resident.

Source: 36 M.R.S. § 5102(5)

Maine imposes a graduated personal income tax with three base rates: 5.8%, 6.75%, and 7.15%. For tax years beginning on or after January 1, 2026, Maine also imposes a 2% surcharge on high-income earners, bringing the effective top marginal rate to 9.15%.

Base rates and brackets. For tax years beginning on or after January 1, 2017, the three-bracket rate structure applies to income brackets that vary by filing status. For 2026, single filers pay 5.8% on Maine taxable income under $27,400; 6.75% on income from $27,400 to $64,850; and 7.15% on income over $64,850. For married individuals filing jointly, the 2026 brackets are: 5.8% on Maine taxable income under $54,850; 6.75% on income from $54,850 to $129,750; and 7.15% on income over $129,750. For heads of households, the 2026 brackets are: 5.8% on Maine taxable income under $41,100; 6.75% on income from $41,100 to $97,300; and 7.15% on income over $97,300. The statutory bracket thresholds are adjusted annually for inflation using the Chained Consumer Price Index.

2% surcharge on high-income earners. For tax years beginning on or after January 1, 2026, Maine imposes a 2% surcharge on the portion of a taxpayer's Maine taxable income that exceeds certain thresholds. The surcharge applies to Maine taxable income over $1,000,000 for single taxpayers and married taxpayers filing separately, and over $1,500,000 for married taxpayers filing jointly and heads of household. When the surcharge applies, the effective marginal tax rate on income above the threshold is 9.15% (the 7.15% top bracket rate plus the 2% surcharge). For example, a single filer with $1,200,000 of Maine taxable income would owe the base three-bracket tax on the entire $1,200,000, plus a 2% surcharge on the $200,000 of income exceeding the $1,000,000 threshold.

Inflation indexing of surcharge thresholds. For tax years beginning on or after January 1, 2027, the dollar amounts triggering the 2% surcharge are adjusted annually for inflation using the Chained Consumer Price Index, in the same manner as the base rate brackets.

Source: 36 M.R.S. § 5111, subsections 1-F, 2-F, and 3-F; Maine Revenue Services, Individual Income Tax 2026 Rates

Maine taxable income for a resident individual equals the individual's federal adjusted gross income, with the modifications and less the deductions and personal exemptions provided in Maine's income tax chapter. The statute incorporates federal AGI as the starting point, then requires addition modifications (such as certain interest income excluded from federal AGI) and subtraction modifications (such as U.S. government bond interest included in federal AGI), with further reductions for Maine-specific deductions and exemptions.

Source: 36 M.R.S. § 5121

Maine taxes nonresident individuals only on Maine adjusted gross income derived from sources within the state. Under 36 M.R.S. § 5142(1), Maine-source income for a nonresident equals the net amount of items of income, gain, loss, and deduction entering into federal adjusted gross income that are derived from or connected with sources in Maine, plus applicable Maine modifications described in 36 M.R.S. § 5122.

Compensation for personal services performed in Maine is Maine-source income subject to Maine tax if the nonresident is present in the state performing personal services for more than 12 days during the taxable year and earns or derives more than $3,000 in gross income from all Maine sources during the year. Both thresholds—the 12-day presence test and the $3,000 income test—must be exceeded for the compensation to be taxable. Up to 24 days performing certain personal services, such as training and site inspections, are not counted toward the 12-day threshold. When a nonresident employee can establish the exact amount of pay received for services performed in Maine, that amount is Maine-source income; otherwise, the income must be apportioned by multiplying gross income wherever earned by a fraction—the numerator is the number of days spent working in Maine and the denominator is total working days (excluding holidays, sick days, vacations, and paid or unpaid leave).

Business income derived from or effectively connected with a trade or business in Maine is taxable to nonresidents. A nonresident individual who is present for business in the state on other than a systematic or regular basis, either directly or through agents or employees, has taxable Maine-source business income only if the individual was present in the state for business more than 12 days during the taxable year and earns or derives more than $3,000 of gross income during the year from contractual or sales-related activities. When a nonresident earns or derives income from sources both within Maine and elsewhere—including income from pass-through entities or sole proprietorships—an allocation or apportionment of the income must be made to determine the amount of Maine-source income.

Pass-through entity income: A nonresident's distributive share of partnership or limited liability company income and deductions is determined under 36 M.R.S. § 5192; share of estate or trust income and deductions is determined under § 5176; and pro rata share of S corporation income is derived from or connected with sources in Maine to the extent the entity operates in Maine.

Real and tangible personal property: Income or loss attributed to the ownership or disposition of real or tangible personal property in Maine is Maine-source income. Gain or loss from the sale of a partnership interest on or after July 1, 2005, by a nonresident is sourced to Maine to the extent of the ratio of the partnership's tangible property located in Maine to the partnership's tangible property located everywhere in the United States, determined based on original cost. If more than 50% of the partnership's assets consist of intangible property, the gain or loss is allocated to Maine based on the sales factor of the partnership for the prior tax year.

Intangible income: Except for certain sales of a partnership interest on or after July 1, 2005, a nonresident generally is not required to pay Maine tax on interest, dividends, alimony, pensions, or other income from intangible sources unless such income is from property employed in a trade or business carried on in Maine.

Exceptions and special rules exclude certain income from the Maine-source definition. Compensation or income directly related to a declared state disaster or emergency is exempt from Maine tax if the taxpayer's only presence in Maine during the tax year is for the sole purpose of providing disaster relief. Income earned by a nonresident employee of a political subdivision of an adjoining state performing services in Maine in accordance with an interlocal agreement under 30-A M.R.S., Chapter 115 is not considered Maine-source income, so long as the work performed does not displace a Maine resident employee. Military pay earned by a nonresident who is stationed in Maine is not taxed by Maine, nor is income from intangible sources; however, if the nonresident service member works at an additional job in Maine or operates a business in Maine, that income is taxable. The income of a nonresident military spouse earned for the performance of services in Maine is not treated as Maine-source income subject to Maine income taxation.

Source: 36 M.R.S. § 5142; Maine Revenue Services Rule 806

Maine allows resident individuals a personal exemption deduction and a standard deduction to reduce Maine taxable income. Both amounts are indexed annually for inflation using the Chained Consumer Price Index.

Personal exemption amounts. For tax years beginning on or after January 1, 2018, a resident individual is allowed a personal exemption deduction equal to $4,150 (the base amount set by statute), unless the individual may be claimed as a dependent on another return. A resident individual is allowed an additional personal exemption deduction equal to $4,150 if married filing a joint return. For tax years beginning on or after January 1, 2020, a resident individual is allowed an additional personal exemption deduction equal to $4,150 if married and not filing a joint return, as long as the individual's spouse has no federal gross income during the taxable year and an exemption would be allowed under the Internal Revenue Code for the spouse (notwithstanding the suspension of the federal personal exemption under IRC Section 151(d)(5)(A)). No additional personal exemption is allowed if the spouse may be claimed as a dependent on another return. The statutory base amount of $4,150 is indexed annually under 36 M.R.S. § 5403, subsection 7, using the Chained Consumer Price Index for the 12-month period ending June 30 of the preceding calendar year divided by the Chained CPI for the 12-month period ending June 30, 2017. For the 2026 tax year, the inflation-adjusted personal exemption amount is $5,300.

Standard deduction amounts. For tax years beginning on or after January 1, 2020, Maine allows a standard deduction equal to the federal standard deduction as determined under IRC Section 63, including both the basic standard deduction and the additional standard deduction for age or blindness. The basic standard deduction amounts vary by filing status. For the 2026 tax year, the Maine basic standard deduction amounts are $15,300 for single individuals and married persons filing separately, and $30,600 for married individuals filing jointly. The additional standard deduction for individuals age 65 or over or blind is also allowed under Maine law in the same amounts as allowed for federal purposes.

Phase-out of personal exemptions. The personal exemption deduction is reduced for higher-income taxpayers. The total personal exemption deduction amount is multiplied by a fraction; the numerator is the taxpayer's Maine adjusted gross income less the applicable amount (but not less than zero), and the denominator is $62,500 for a married individual filing separately and $125,000 in all other cases. The fraction cannot exceed one. The applicable amounts used to calculate the numerator are indexed for inflation annually under 36 M.R.S. § 5403, subsection 8. The statutory applicable amounts (before indexing) are $266,700 for single individuals, $266,700 for heads of households, $333,350 for married individuals filing jointly or surviving spouses, and $166,675 for married individuals filing separately.

Phase-out of standard and itemized deductions. For tax years beginning on or after January 1, 2020, the standard deduction (or itemized deductions, if applicable) is reduced for taxpayers with Maine adjusted gross income above certain thresholds. The total standard or itemized deduction is multiplied by a fraction; the numerator is the taxpayer's Maine adjusted gross income less the threshold amount (but not less than zero), and the denominator is $150,000. The fraction cannot exceed one. For the 2026 tax year, the phase-out thresholds are $102,250 for single individuals and married persons filing separately, $153,400 for heads of households, and $204,550 for married individuals filing jointly or surviving spouses. These threshold amounts are indexed annually for inflation.

Source: 36 M.R.S. § 5126-A; 36 M.R.S. § 5124-A; Maine Revenue Services, Withholding Tables for Individual Income Tax (2026)

Maine is a static conformity state for purposes of the federal Internal Revenue Code. Under 36 M.R.S. § 111(1-A), "Code" means the United States Internal Revenue Code of 1986 and amendments to that Code as of December 31, 2024. This conformity date was enacted by P.L. 2025, c. 48 (L.D. 48), effective July 1, 2025, and applies to tax years beginning on or after January 1, 2024 and to any prior tax year as specifically provided by the United States Internal Revenue Code of 1986 as amended.

Practical effect on federal adjusted gross income. Because Maine's income tax calculation begins with federal adjusted gross income (AGI) under 36 M.R.S. § 5121, the conformity date controls which version of the Internal Revenue Code applies when computing the federal AGI starting point for Maine purposes. For a taxpayer filing a Maine individual income tax return for the 2024 tax year, federal AGI is determined under the Internal Revenue Code as it existed on December 31, 2024—not the Code as it may be amended after that date. Federal law changes enacted after December 31, 2024, do not automatically apply for Maine tax purposes until the Maine Legislature updates the conformity date in 36 M.R.S. § 111(1-A).

Impact on Maine modifications. The conformity date also governs the interpretation of "other terms" under Maine income tax law. Under 36 M.R.S. § 5102, Part 8 definitions (which include terms such as "federal adjusted gross income," "itemized deductions," and "gross income"), unless a different meaning is clearly required, have "the same meaning as when used in a comparable context in the laws of the United States relating to federal income taxes." The statute defines "Laws of the United States" to mean the Code as defined in section 111, subsection 1-A (i.e., the IRC as of December 31, 2024), and other provisions of the laws of the United States relating to federal income taxes as of the date specified in section 111, subsection 1-A. Consequently, when a practitioner applies Maine addition or subtraction modifications under 36 M.R.S. § 5122, the baseline federal definitions and calculations are frozen as of the December 31, 2024 conformity date.

Annual legislative update process. Maine does not automatically adopt changes to the Internal Revenue Code. Each year, the Maine Legislature must pass a conformity bill to update the reference date in 36 M.R.S. § 111(1-A) and determine whether Maine will conform to recent federal tax law changes or decouple from specific provisions. The revenue impact of adopting federal tax law changes is recognized in the fiscal note for the conformity bill. In 2025, Maine also enacted a framework (36 M.R.S. § 111, subsection 1-A; P.L. 2025, c. 48) that permits the Governor, at the direction of the Commissioner of Administrative and Financial Services, to temporarily adjust Maine income tax filing requirements when the Legislature will not have the opportunity to conform before the tax filing season for the most recently completed tax year.

Determining the applicable conformity date for a given tax year. The conformity date in effect for a given tax year is the date specified in 36 M.R.S. § 111(1-A) at the time the tax year closed or as retroactively applied by subsequent legislation. For example, P.L. 2025, c. 48 updated the conformity date to December 31, 2024, effective July 1, 2025, but the statute provides that the updated conformity date applies retroactively to tax years beginning on or after January 1, 2024. Practitioners should verify the conformity date in effect for each tax year by reviewing the applicable version of 36 M.R.S. § 111(1-A) and the effective-date and applicability provisions of the most recent conformity legislation.

Source: 36 M.R.S. § 111(1-A); 36 M.R.S. § 5102; 36 M.R.S. § 5121; Maine Revenue Services, 2025 Tax Law Changes

Maine individual income tax returns are due on or before the date a federal income tax return, without regard to extension, is due to be filed. Under 36 M.R.S. § 5227, the Maine return due date tracks the unextended federal due date. For calendar-year individual taxpayers, the Maine return is generally due on April 15 following the close of the tax year (or the next business day when April 15 falls on a weekend or holiday). For fiscal-year filers, the Maine return due date is the same as the unextended federal due date for that fiscal year.

Automatic extension when granted a federal extension. Maine automatically grants an extension of time to file a Maine individual income tax return when the taxpayer is granted an extension of time to file the corresponding federal income tax return. Under 36 M.R.S. § 5231(1-A), when an individual, estate, or trust is granted an extension of time within which to file a federal income tax return for any taxable year, an extension to file the taxpayer's income tax return with respect to the Maine income tax is automatically granted for an equivalent period from the date prescribed for filing the return. This automatic extension provision conforms Maine's extension period to the federal extension granted under IRC § 6081 and the regulations thereunder.

Application to federal automatic six-month extension. The automatic Maine extension applies both to federal extensions granted administratively and to the automatic six-month federal extension available to individual taxpayers under Treas. Reg. § 1.6081-4. When an individual taxpayer obtains the automatic federal six-month extension by timely filing federal Form 4868 (or by making a timely payment of the estimated tax due with the extension designation), the Maine extension runs for an equivalent six-month period from the original Maine due date. No separate Maine extension request form is required; the federal extension automatically extends the Maine filing deadline under 36 M.R.S. § 5231(1-A).

Extension ceiling and payment requirement. Under 36 M.R.S. § 5231(1), the State Tax Assessor may grant a reasonable extension of time for payment of tax or for filing any return, on terms and conditions the assessor may require. Except as provided in subsection 1-A (the federal-extension conformity rule) or for a taxpayer who is outside the United States, an extension for filing any return may not exceed eight months. The automatic federal extension provision in subsection 1-A incorporates the federal extension period by reference, so the effective Maine extension period for an individual taxpayer who obtains a federal extension is the same length as the federal extension—typically six months, bringing the due date to October 15 for calendar-year filers.

Extension to file versus extension to pay. The extension of time to file a Maine return does not extend the time for payment of the tax. Maine imposes interest on any Maine income tax not paid by the original due date (generally April 15 for calendar-year filers), compounded monthly, regardless of any extension granted to file the return. To minimize late-payment penalties, a taxpayer must pay at least 90 percent of the Maine tax owed by the original return due date. A taxpayer who files an income tax return after the due date with a valid extension and who remits the amount of the balance due with that return will not incur the failure-to-pay penalty imposed by 36 M.R.S. § 187-B(2) unless the amount remitted with the return is more than 10 percent of the total tax liability shown on the return, as provided in 36 M.R.S. § 5231(3).

Practical conformity to IRC § 6081. Because Maine's automatic extension statute in 36 M.R.S. § 5231(1-A) extends the Maine filing deadline for an "equivalent period" whenever the taxpayer "is granted an extension of time within which to file a federal income tax return," Maine conforms to extensions granted under IRC § 6081. IRC § 6081(a) authorizes the Secretary of the Treasury to grant a reasonable extension of time for filing any return, and Treas. Reg. § 1.6081-4(a) provides an automatic six-month extension for individual income tax returns when the taxpayer files Form 4868 by the regular due date of the return. When the IRS grants an extension under IRC § 6081—whether the automatic extension under the regulation or a discretionary extension in unusual circumstances—Maine automatically grants a parallel extension under 36 M.R.S. § 5231(1-A) for the same period, measured from the original Maine due date.

Source: 36 M.R.S. § 5227; 36 M.R.S. § 5231; Maine Revenue Services, Individual Income Tax FAQ