#8 State: New Hampshire
There is no income tax, no sales tax, no inheritance tax, no estate tax, and no taxes on Social Security benefits, pensions, or retirement distributions. There’s a 5 percent tax on stock dividends (with up to $1,200 exempt for those over 65) and the median property tax on New Hampshire’s median home value of $239,700 is $5,241, the third-highest in the U.S.
But there is a property-tax exemption available to those age 65 and older who have lived in New Hampshire for at least five years. Towns and cities set those rules, but the minimum exemption is $5,000 a year.
