Cryptocurrency Tax & Regulation by US State

Alabama Money Transmission Act requires crypto exchanges to register. State income tax app...

Alaska has no state income tax. Money transmission licensing applies to exchanges. Federal...

Flat 2.5% state income tax applies to crypto gains. Crypto-friendly legislative stance; SB...

State income tax on crypto gains. Money transmission licensing required for exchanges....

California's Digital Financial Assets Law (DFAL) takes effect July 2025, creating a state-...

Crypto accepted for state tax payments since 2022. Flat 4.4% state tax applies to gains....

State money transmission licensing. Progressive income tax on crypto gains....

Business-friendly incorporation state. Progressive income tax on crypto gains....

No state income tax — major benefit for crypto investors. Money transmission licensing a...

Flat 5.39% state income tax on crypto gains (transitioning to flat 4.99% by 2029)....

Historically restrictive (no major exchange until DCIL programme). Hawaii Digital Currency...

Flat state income tax on crypto gains. Standard money transmission licensing....

Flat 4.95% income tax. Pending crypto consumer protection bills....

Flat 3.05% state income tax (declining annually under 2023 reforms)....

Iowa moved to flat 3.8% state income tax in 2025 after multi-year reform....

Progressive state income tax. Standard money transmission licensing....

Flat 4% state income tax. Major Bitcoin mining hub due to cheap electricity....

Virtual Currency Businesses Act (2020) established state framework. Progressive income tax...

Progressive state income tax on crypto gains. Standard licensing....

State income tax plus county tax. Standard money transmission licensing....

Flat 5% income tax plus 4% millionaire surtax above $1M. State money transmission licensin...

Flat 4.25% state income tax on crypto gains....

Progressive state income tax — one of the highest in the country....

Flat 4.4% state income tax (transitioning to lower flat rate by 2026)....

Top marginal rate of 4.7%. Crypto-friendly legislative environment....

Montana does NOT require money transmission licensing for crypto firms — unusual among U...

Nebraska Financial Innovation Act 2021 created state-chartered "digital asset depository i...

No state income tax. Nevada exempts crypto from money transmission licensing for some acti...

No state income tax on wages/capital. Money transmission licensing required....

Progressive state income tax — one of the highest. Standard licensing....

Progressive state income tax on crypto gains....

NYDFS BitLicense — most restrictive US state regime. Only about 30 firms hold BitLicense...

Flat 4.25% state income tax (declining over time)....

One of lowest state income tax rates in US....

Progressive state income tax. Was first state to accept Bitcoin for tax payments (2018-201...

Progressive state income tax on crypto gains....

Progressive state income tax — one of the higher rates in US....

Flat 3.07% state income tax — relatively low. Standard licensing....

Progressive state income tax. Standard licensing....

Progressive state income tax. Standard licensing....

No state income tax. Bank-friendly regulatory environment....

No state income tax on wages or capital gains. Standard licensing....

No state income tax — major draw for crypto holders. Crypto-friendly legislation. Major ...

Flat 4.55% state income tax. Crypto-friendly legislative environment....

Progressive state income tax. Standard licensing....

Progressive state income tax on crypto gains....

No general state income tax but 7% capital gains tax on gains over $250k since 2022....

Progressive state income tax on crypto gains....

Progressive state income tax. Standard money transmission licensing....

Most crypto-friendly US state. No state income tax. Special Purpose Depository Institution...