These 38 States Don’t Tax Your Social Security Benefits

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33. Tennessee

The Volunteer State has its perks since it doesn’t impose income taxes. So, you can easily enjoy all your retirement income. IRA distributions, Social Security benefits, pensions, and all types of income are exempt from taxation.

Unfortunately, groceries are taxed at a 4 percent rate in Tennessee. The median property tax rate is $727 per $100,000 of assessed home value for homeowners, and, luckily, there’s no estate or inheritance tax.

34. Texas

According to the Tax Foundation, the average combined rate when it comes to sales tax is 8.19 percent because localities can add as much as 2 percent to the already existing 6.25 percent levy.

However, rest assured that you’ll pay no state income tax. In the Lone Star State, the median property tax rate is actually $1,807 per $100,000 of assessed home value, but there’s no estate or inheritance tax.

Psst! Do You Know Which States Have the Highest Beer Taxes?

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