5 States That Don’t Tax Retirement Income

4. Florida

Insider Monkey Score: 37

Cost of Living Index: 100.7

Tax-Friendliness: Very Tax-Friendly

Statewide Sales Tax Rate: 6%          

Average Local Tax Rate: 1.002%

Average Property Tax Rate: 0.80%

Florida, renowned for its sunny weather and retirement-friendly atmosphere, stands out for its lack of income tax. Seniors flock to its many retirement havens, drawn by the absence of taxation on retirement income. Although sales and property taxes are present, they are close to national averages. Statewide sales tax rests at 6%, potentially reaching 8.25% with local additions. With its warm climate, tax benefits, and near-average cost of living, Florida remains a top choice for retirement in the US.