Sales taxes, property taxes and other levies such as vehicle taxes also vary from state to state, as well as taxes on things like gas or cigarettes.
For retirees, state of residence can make a big difference when it comes to how much of their income goes to taxes. In addition to some states not taxing Social Security, others don’t tax income from retirement accounts such as 401(k) plans, individual retirement accounts and pensions.
Still others extend specific breaks to people age 65 or older. Estate taxes also vary from state to state. And, of course, some states offer very little tax relief for retirees.
The chart below shows how each state ranks.
Dark blue = most tax-friendly
Light blue = tax-friendly
White = mixed
Peach = not tax-friendly
Red = least tax-friendly
For details on each state, visit the full Kiplinger map.
Be the first to comment