30 States With No Estate Taxes or Inheritance Taxes

South Dakota

Overall Rating for Taxes on Retirees: Most tax-friendly

State Sales Tax: 4.5% state levy. Localities can add as much as 4.5%, and the average combined rate is 6.40%, according to the Tax Foundation. Many services are taxed, as are groceries.

State Taxes on Social Security: Benefits are not taxed.

State Income Tax Range: There’s no state income tax.

Property Taxes: The median property tax on South Dakota’s median home value of $146,700 is $1,943.

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