Corporate Income Tax
Corporations engaging in a trade or business within the District or receiving income from District sources are subject to tax at a rate of 9.5% on their taxable income. In addition, a total surtax of 5.0% is charged, for a total effective rate of 9.975%. The minimum franchise tax for corporations is $100.
Personal Income Tax (2003)
The first $10,000 is taxed at 5%
$10,001-$17,000 is $500 + 7.5% of excess over $10,000
$17,001-$30,000 is $ 500 + 7.5% of excess over $10,000
$30,000 $ 2,000 + 9.3% of excess over $30,000
Real Property Tax
The metropolitan area average burden for the real property tax is 3.7% of income at the $25,000 level; 3.5% at $50,000 and $75,000 levels; 3.3% at $100,000; and 3.1% at $150,000.
State Sales and Use Tax
Base Rate: 5.75%
Unemployment Insurance
New employers are assigned a standard tax rate equal to the average rate of contributions paid by all employers during the preceding year, or 2.7% whichever is higher.
