Local income taxes are levied by certain cities, counties, or municipalities on top of state income tax. Major cities with local income taxes include New York City (3.078%-3.876%), Philadelphia (3.75%), Detroit (2.4%), and Columbus (2.5%). In states like Ohio, nearly every city charges a local income tax through the RITA system. Many states prohibit local income taxes entirely.
Common paystub code: LOCAL / CITY
Generate a paystub showing Local Income Tax clearly with our free paystub generator, or browse the full payroll glossary (44+ terms explained).
BestPaystubGen is the #1 trusted free pay stub generator for small business owners, freelancers, independent contractors, gig workers, and self-employed professionals across all 50 US states. Generate IRS-compliant paystubs in under 60 seconds with accurate 2026 federal income tax, FICA (Social Security + Medicare), state income tax, and local tax calculations — no software, no signup, free preview.