Best Retirement Spots

Best Retirement Towns and Cities

25 Top Affordable Retirement Spots in the U.S.

Retirement Communities

Interested in How to Earn Retirement Income?

Vacation Rentals

Bed and Breakfasts/Inns

Hotels and Resorts

Real Estate for Sale

Golf

Health

RV Parks and Campgrounds

Great Links

State Taxes Information

Taxes need to be considered when it comes to retirement.  No one likes paying taxes but retirees may be on limited incomes while taxes continue to rise.  In addition to income taxes and property taxes, states generate revenue through a number of other taxes, including estate taxes, fuel taxes, cigarette taxes, etc.  The fact that a state does not have a state income tax does not always mean that state has low taxes.  Often states with no personal income tax have high property taxes and/or sales taxes.

States with no income tax:

• Alaska

• Florida

• Nevada

• South Dakota

• Texas

• Washington

• Wyoming

• New Hampshire (only taxes dividends and interest income)

• Tennessee (only taxes dividends and interest income)

States that do not collect sales tax:

• Alaska

• Delaware

• Montana

• New Hampshire

• Oregon

States with highest sales tax:

• Tennessee

• Louisiana

• Washington

• New York

• Arkansas

• Oklahoma

• California

States that tax Social Security benefits to some extent:

• Colorado

• Connecticut

• Iowa (phasing out its tax)

• Kansas

• Minnesota

• Missouri (phasing out its tax)

• Montana

• Nebraska

• New Mexico

• North Dakota

• Utah

• Rhode Island

• Vermont

• Wisconsin

States with the lowest median property taxes:

• Louisiana

• Hawaii

• Alabama

• Washington, D.C.

• Delaware

States with the highest median property taxes:

• Wisconsin

• Texas

• Nebraska

• Vermont

• New Hampshire

 

Sources: 

Individual state departments of revenue, ACCRA, Retirement Places Rated., U.S. Census Bureau