Arkansas Cuts Individual and Corporate Income Tax Rates

The Governor of the U.S. state of Arkansas signed a package of tax cuts into law on 6 May 2026. This includes a reduction in the top individual income tax rate from 3.9% to 3.7%, and a reduction in the corporate tax rate from 4.3% to 4.1%. The individual tax cut is effective retroactively from 1 January 2026, while the corporate tax cut takes effect on 1 January 2027.