Retirees have special concerns when it comes to taxes. Does the state tax Social Security benefits? Are there property tax breaks for seniors? The answers can have a big impact on a fixed income.
We analyzed the tax policies of all 50 states and the District of Columbia to identify the tax-friendliest state for retirement. Surprisingly, our top pick isn’t Florida or Arizona, though both earn high marks. You need to head north—way north—to find the best state for taxes on retirees. It’s Alaska.
The Last Frontier isn’t a natural choice for retirement, but perhaps it should be. Yes, it’s cold. But it’s also a haven for outdoorsy types and the scenery is spectacular. As for taxes, there’s no state sales tax, estate tax, inheritance tax or income tax.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Alaska residents enjoy an added bonus: a cut of the state’s oil riches. The annual dividend check topped $2,000 in 2015.
Check out 14 more high-ranking states for taxes on retirees.
-
NYC Congestion Pricing: Ghost Tax or Necessary Fee?State Taxes Drivers headed to Manhattan’s downtown district will face a new $9 toll in January.
-
Tax Credit vs. Tax Deduction: What’s the Difference?Tax Breaks Your guide to tax deductions and credits, how the IRS treats them differently, and how they impact your tax bill.
-
Premium Tax Credit: Are You Eligible For This Health Insurance Tax Break?Tax Credits The tax credit can help qualifying individuals pay for coverage from the Affordable Care Act’s health insurance marketplace.
-
IRS: Here’s How to Recover Your Tax Records After a Natural DisasterTax Records Your tax documents can help you get federal relief faster, the IRS says.
-
Voters Approve New Veteran Property Tax ReliefTax Relief Thanks to the election, some Veterans will soon see expanded property tax exemptions.
-
Nevada Approves Diaper Tax Relief Amid Childcare CrisisTax Relief Nevada voters have expanded sales tax relief to diapers. But are prices still too high?
-
Earned Income Tax Credit (EITC) 2024: How Much Will You Get?Tax Credits The refundable amount for workers with or without children is slightly higher this year. Here’s what you need to know.
-
Five Cities With the Lowest Property Tax in the U.S.Property Tax Property taxes are ultra-low in these popular metro areas, but is housing affordable?
