Where to Go for
Lowest State Taxes?

• 

  Carol Pucci, Seattle Times / MCT

  Top 10 Tax-Friendly Places to Live

  One can't avoid paying taxes, but the place a person calls home can make a big difference in the year-end tax bill.
  
  Each year, the Tax Foundation, a nonprofit policy research group, ranks each of the 50 states and Washington, D.C., according to the state and local tax burden borne by residents of those areas.
  
  Next Slide: No.1 for Lowest State Taxes

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Alaska

  Linda Epstein/ MCT

  Alaska

  Rank: No. 1
  Tax Burden: 6.6% of income
  
  Alaska residents pay the lowest state taxes. They do not pay state income or sales tax. They even get tax refunds from the government because of the excess revenue it collects from companies extracting oil from the state.
  
  See Alaska's Rankings For:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• New Hampshire

  New Hampshire

  Rank: No. 2
  Tax Burden: 8% of income
  
  No personal income tax gives New Hampshire residents low state taxes.
  
  More New Hampshire Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Tennessee

  Tennessee

  Rank: No. 3
  Tax Burden: 8.5% of income
  
  Tennessee residents pay some of the lowest state taxes because they only owe income tax on dividends and interest.
  
  More Tennessee Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Delaware

  Delaware

  Rank: No. 4
  Tax Burden: 8.8% of income
  
  No sales tax is another policy that gives Deleware residents some of the lowest state taxes in the country.
  
  More Delaware Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Alabama

  Alan Solomon/ MCT

  Alabama

  Rank: No. 5
  Tax Burden: 8.8% of income
  
  Alabama is an especially tax-friendly place for seniors, offering retirees nice tax breaks that add up to low state taxes.
  
  More Alabama Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Oklahoma

  Oklahoma

  Rank: No. 6
  Tax Burden: 9% of income
  
  The highest state income tax rate for Oklahoma, 6.25%, is actually among the lowest state taxes paid across the nation.
  
  More Oklahoma Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• South Dakota

  Jay Clarke/ MCT

  South Dakota

  Rank: No. 7
  Tax Burden: 9% of income
  
  Those looking for low state taxes should target places like South Dakota that do not charge personal income tax.
  
  More South Dakota Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Texas

  Texas

  Rank: No. 8
  Tax Burden: 9.3% of income
  
  Tax-friendly places such as Texas may have one of the highest sales tax rates in the country, but does not charge a personal income tax. So residents who spend less (or have less to spend) will shoulder less of the tax burden.
  
  More Texas Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Wyoming

  Wyoming

  Rank: No. 9
  Tax Burden: 9.5% of income
  
  For low state taxes turn to Wyoming, which not only lacks state income tax, but its sales tax rate is below average at 5%.
  
  More Wyoming Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• Montana

  Montana

  Rank: No. 10
  Tax Burden: 9.7% of income
  
  Shop 'til you drop in Montana and still pay lowest state taxes, since there is no sales tax charged in this state.
  
  More Montana Rankings:
  Best Places to Live
  Healthiest States
  Most Dangerous States

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• more tax rating lists

  Carol Pucci, Seattle Times / MCT

  More Geographical Tax Ratings

  Among the list for lowest state taxes, more tax-friendly (or not so friendly) places include:
  
  Tax-Friendly Cities
  No Income Tax Here
  No Sales Tax
  Retiree Tax Breaks

  See All State Tax Rankings

  State Quarter Quiz

  Tax-Procrastinating Cities

• best rural places

  Jamie Cole, The Progressive Farmer

  Best Rural Places to Live

  
  For those who dream of a low state taxes, low traffic, low cost of living and low stress, the Best Rural Places to Live in America might be the list that delivers.

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