Maine taxes

Maine taxes personal income at 5.8% to 7.15%. A sole proprietor owes no separate business tax. LLCs, partnerships and corporations file an annual report, $85 for a business formed in Maine. A partnership or S corporation whose owners all live in Maine has no Maine income filing at all. C corporations pay corporate income tax from 3.5% to 8.93%.

Personal income tax

Maine residents file Form 1040ME, due April 15, 2026. The rate is 5.8% on the first $26,800, 6.75% on the next $36,650, 7.15% above $63,450 of taxable income for single filers. Head of household filers use wider steps (5.8% on the first $40,200, 6.75% on the next $54,950, 7.15% above $95,150), and married couples filing jointly wider still (5.8% on the first $53,600, 6.75% on the next $73,300, 7.15% above $126,900).

What sets Maine apart: it takes both the standard deduction and the personal exemption away as income rises, on two different schedules. A single filer's deduction starts shrinking at $100,000 of income and is gone at $175,000. The exemption lasts much longer, and starts shrinking at $333,450.

Maine does not tax Social Security. Its property tax fairness credit is refundable and worth up to $2,000, or $4,000 at 65 or older.

Return

Form 1040ME

Due date

April 15, 2026

Rates

5.8%, 6.75%, 7.15%

Standard deduction

$15,000 single or married filing separately, $22,500 head of household, $30,000 married filing jointly

Age 65 or blind

$2,000 more deduction for each if single or head of household, $1,600 for each if married

Standard deduction phase-out starts

$100,000 single, $150,000 head of household, $200,050 married filing jointly

Personal exemption

$5,150 per person

Exemption phase-out starts

$333,450 single, $366,750 head of household, $400,100 married filing jointly, $200,050 married filing separately

Not taxed

Social Security

Sole proprietor

A sole proprietor with no LLC owes Maine nothing at the business level. The annual report is for registered businesses only, so there is no report and no fee.

Your business profit is taxed on your own Form 1040ME, at the personal rates above.

Single-member LLC

Every Maine LLC files a Secretary of State annual report each year to stay in good standing, however few members it has. It is due between January 1 and June 1. The fee is $85 for an LLC formed in Maine and more for one formed in another state, owed whatever the business earned.

A late report draws a penalty, and it is not paying that penalty that gets the LLC dissolved. Maine does not send a reminder. The LLC's profit is taxed on your own Form 1040ME.

Partnership

Maine has no partnership income return. If every partner lived in Maine all year, the partnership has no Maine income filing at all. If even one partner lived outside Maine at any point in the year, the partnership files Form 941P-ME and withholds Maine tax on that partner's share.

Form 941P-ME is due March 16, a month before most returns. A federal extension moves the filing date but not the payment: any withholding due must still be paid by March 16. A financial institution files Form 1120B-ME instead.

The partnership also files the Secretary of State annual report, $85 if it was formed in Maine.

S corporation

Maine has no S corporation income return. If every shareholder lived in Maine all year, the corporation has no Maine income filing at all. If even one shareholder lived outside Maine at any point in the year, it files Form 941P-ME and withholds Maine tax on that shareholder's share.

Form 941P-ME is due March 16, and any withholding must be paid by then even with a federal extension. A financial institution files Form 1120B-ME instead. The corporation also files the annual report, $85 if it was formed in Maine.

C corporation

A C corporation files Form 1120ME, due April 15, and pays corporate income tax at 3.5% on the first $350,000, 7.93% up to $1,050,000, 8.33% up to $3,500,000, 8.93% above $3,500,000 of its Maine taxable income. A corporation selling into other states counts only its Maine share, measured by Maine sales over total sales. A financial institution files Form 1120B-ME instead.

It also files the Secretary of State annual report, $85 if it was formed in Maine and more if it was formed elsewhere.

Return

Form 1120ME, due April 15

Corporate income tax

3.5% on the first $350,000, 7.93% up to $1,050,000, 8.33% up to $3,500,000, 8.93% above $3,500,000

Multi-state profit

Maine sales over total sales

Annual report fee

$85 for a Maine corporation, more for one formed elsewhere

Estimate your state tax

Pick your business type and enter this year's numbers to see the state business tax Maine charges. It assumes all your sales are in Maine.

An estimate for planning, not tax advice.

Sources

• Maine 2025 Form 1040ME general instructions
• Maine Form 1040ME, 2025
• maine.gov Secretary of State: Filing an Annual Report and filing requirement reminders ("$85 for domestic business entities, $150 for foreign business entities")
• legislature.maine.gov Title 31 §1665 (annual report requirement)
• maine.gov/revenue 2025 Form 941P-ME instructions (who must file; the all-resident exception; the 16 March deadline and payment rule)
• maine.gov/revenue 2025 Form 1120ME general instructions (15 April due date; the graduated rate schedule; financial institutions file Form 1120B-ME)
• maine.gov/revenue 2025 Form 1120ME General Instructions: the corporate tax rate schedule

Last reviewed August 2026.