There are 4 hidden state taxes that shock US retirees — and none are income taxes. Is Florida really so tax-friendly?

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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};be("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat(Vn)),notifLabel:document.querySelector(".".concat($n))};t.notifDropdown&&ro(e,t)}))}()}};]]>Vishesh RaisinghaniSat, Sep 20, 2025, 1:30 PM 6 min readMoving to another state to avoid income taxes can feel like solving one problem only to discover another. While you may avoid one type of tax, you may encounter others in unexpected places.There are nine states that can technically be considered “income tax-free,” according to TurboTax [1]:AlaskaFloridaNevadaSouth DakotaTennesseeTexasWashingtonWyomingNew HampshireBut these states have to generate revenue from other sources to cover the expenses of essential services such as schools, roads, police departments and firefighters. To bridge the gap, these states have taxes that operate differently from other states which the average person may not be aware of.And most of these taxes impact those who are retired or live on passive income. If you’re a retiree who either lives in one of these nine states or is planning to move there, here are the top four hidden taxes you should keep an eye on.Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's howDave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s what it is and 3 simple steps to fix it ASAPI'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 6 of the easiest ways you can catch up (and fast)One of the most common ways for states to offset their lack of income taxes is to simply tax property at a higher rate. Texas, for instance, is famous both for its lack of income tax as well as its high property tax. The Lone Star state charges an average effective property tax of 1.63% - far higher than the national average of 0.9%, according to SmartAsset [2].The state’s property taxes are the sixth-highest in the country, according to National Mortgage Professional [3]. Similarly, New Hampshire has the fourth-highest average property tax rate in the country at 1.89%, according to SmartAsset [4].For retirees in these states, higher monthly tax bills could offset some of the benefits of not having state income taxes.Sales taxes are the most common form of state-level revenue collection and are one of the primary ways that states with no income taxes can offset their lack of revenue from your paychecks.Florida — a state that hasn’t charged income taxes in 100 years — generates 80% of the state government’s revenue from sales and excise taxes alone, according to a report by the Institute on Taxation and Economic Policy’s (ITEP) [5].Only five states do not have statewide sales taxes:Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,664.36 +32.40 (+0.49%)Dow 3046,315.27 +172.85 (+0.37%)Nasdaq22,631.48 +160.75 (+0.72%)Russell 20002,448.77 -18.93 (-0.77%)VIX15.45 -0.25 (-1.59%)Gold3,705.80 +27.50 (+0.75%)PortfolioSign in to access your portfolioSign inTop gainersOKLO Oklo Inc. 135.23 +30.26 (+28.83%)BHF Brighthouse Financial, Inc. 57.59 +12.33 (+27.24%)QUBT Quantum Computing Inc. 23.27 +4.92 (+26.81%)MENS Jyong Biotech Ltd. 65.62 +13.87 (+26.80%)SMR NuScale Power Corporation 46.77 +8.65 (+22.69%)Top losersDXCM DexCom, Inc. 67.45 -8.33 (-10.99%)HESM Hess Midstream LP 35.36 -4.12 (-10.44%)CART Maplebear Inc. 41.50 -3.90 (-8.59%)ORLA Orla Mining Ltd. 10.22 -0.85 (-7.68%)RXO RXO, Inc. 16.14 -1.31 (-7.51%)Most activeOPEN Opendoor Technologies Inc. 9.57 -0.37 (-3.72%)INTC Intel Corporation 29.58 -0.99 (-3.24%)SNAP Snap Inc. 8.16 -0.28 (-3.32%)NVDA NVIDIA Corporation 176.67 +0.43 (+0.24%)BBAI BigBear.ai Holdings, Inc. 6.85 +0.57 (+9.08%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersDIS The Walt Disney Company 113.76 -1.10 (-0.96%)2222.SR Saudi Arabian Oil Company 24.93 +0.46 (+1.88%)ETH-USD Ethereum USD 4,471.28 +2.74 (+0.06%)BTC-USD Bitcoin USD 115,764.79 -113.81 (-0.10%)BNB-USD BNB USD 1,056.43 +56.85 (+5.69%)Top economic events