The 9 States with ZERO Income Tax

are you sick of paying income taxes well if you are you're not alone every year millions of people dread having to Fork over heaps of cash to the government but did you know that there are a number of states in America that don't have any state income taxes you could literally bring your state income tax bill to zero just by living in one of these states today I'm going to explain to you which states in the US have no income taxes if you're not already living in one of these states then you can always move

to one of them in the future to help eliminate your state income taxes entirely without further Ado let's Dive In [Music] number one is Alaska Alaska is number one on our list Alaska is the largest state in the Union and has about 730,000 people living in it this state actually used to Levy a state income tax on its citizens in fact Alaska first imposed a state income tax on its residents in 1949 however it repealed this income tax just 30 years later in 1979 when there was an oil boom in the state and the Alaskan

oil fields started generating substantial profits after this happened the Alaskan government actually started giving money to its citizens in the form of dividends from the oil Revenue so the Alaskan government actually gives money to its residents as opposed to levying a state income tax on them in 2023 this dividend was $312 for qualifying residents number two on our list is Florida from Miami to Sarasota Florida is the land of sunshine gorgeous beaches and warm weather in the wintertime the state draws snowbirds throughout the northern us who are looking to escape the cold weather however it's

not just the natural landscape and weather that's inviting Florida also has no income taxes but this does not mean that Floridians pay no tax in fact sales and excise taxes in Florida are above the national average but the lack of an income tax helps to make Florida one of the least tax states in the nation third on our list is Nevada home to the famous Las Vegas strip and the Hoover Dam Nevada is third on our list of states with no state income tax tax one of the main reasons why Nevada does not have state

income taxes is because the state relies heavily on high sales tax on everything from alcohol to gambling to casinos to hotels due to the abundance of tourist activity in Las Vegas Nevada it's able to derive enough tax revenue from other sources so it can avoid leving personal income taxes on its residents however despite the lack of state income taxes living in Nevada can still be expensive this is because the median home price in Nevada is currently $418,000 which is is above the national average this means that if you are thinking about moving to Nevada you

should still expect to pay relatively High housing costs despite the lack of income taxes and if you're thinking about moving to Las Vegas specifically the median home price is even higher at $444,900 clocking in at number four on our list is South Dakota South Dakota is home to Mount Rushmore Badlands National Park and the Black Hills residents of the Mount Rushmore state do not have to pay state income taxes however they do have to pay high sales tax rates on many items such as cigarettes and alcohol and above average property tax rates South Dakota is

known for having vast and beautiful prairies ample Ranch Land and abundance of spectacular glacial lakes this state draws a lot of people who love The Great Outdoors in addition to people who hate paying income taxes so make sure you look at this state seriously number five is Texas they say everything is bigger in Texas but when it comes to state income taxes this just isn't the case residents of the Lone Star State enjoy paying zero income taxes year after year in fact Texans hate personal income taxes so much that they actually forbid them in the

state's Constitution however like many other states on this list Texas makes up for a lack of personal income tax revenue through high sales and property taxes sales taxes are as high as 8.25% in some jurisdictions but despite High property and sales taxes the overall tax burden of Texans is still relatively low compared to the tax burden of many other states Texas is also home to thriving cattle industry amazing rodeos and plenty of southern hospitality and at number six is Washington located in the Pacific Northwest Washington state is known for its gorgeous Coast lines being the

birthplace of Starbucks coffee and Grunge music and being home to a number of huge tech companies including Microsoft and Amazon residents of Washington do not have to pay any income taxes to the state neither do corporations which is one of the main reasons why some of the largest companies in the tech sector are headquartered in Washington ever despite the lack of state income taxes Washington is still an expensive place to live in fact for this year the median home price in the state is $574,000 which makes Washington one of the top five least affordable states

in the country for Real Estate there are a number of reasons why homes are expensive in Washington including a shortage of homes and the fact that Washington is a desirable place to live due to its exciting cities like Seattle it's a bundance of Tex jobs and its beautiful natural landscapes just like in Washington there are neither personal income taxes nor state income taxes in Wyoming there are also no State retirement taxes and low sales tax rates in the great state of Wyoming this means that residents of the state pay some of the lowest overall taxes

in the entire country now in addition to enjoying low tax rates residents of Wyoming also get to enjoy having the famous Yellowstone National Park in their state although this National Park spreads into Parts in Montana and Idaho the bulk of the park is actually in Wyoming over 3 million tourists visit this incredible National Park every year and are amazed by the stunning Wildlife the mountains the rock formations and the geysers like Old Faithful another nice thing about Wyoming is that home prices are currently very affordable in the state compared to the national average in September

of 2023 the medium sales price for a home in the state of Wyoming was just $210,000 this is a 34% decrease from the prices in September of 2022 so if you are looking for a state to move to with affordable housing and low taxes Wyoming could be that perfect fit for you number eight is Tennessee Tennessee does not have state income taxes however it does have a flat 65% corporate income tax rate it also levies a gross receipts tax Additionally the volunteer state has a 7% state sales tax rate and a maximum local sales tax

rate of 2.75% prior to 2016 Tennessee used to tax interest and dividend income from Investments through a tax known as the hall income tax the tax rate for the hall income tax was 6% and it was applied to all interest and dividend income over $1,250 for single and $2,500 for married filing joint filers however the Tennessee state government decided to start phasing this tax in 2016 between 2016 and 2020 the hall tax was reduced by 1% each year until it was completely repealed in 2021 now Tennessee does not Levy state income taxes on investment income

and this has made the state significantly more attractive to retirees many of of whom have investment income as a main source of their retirement income retirees and other people who have moved to the state can also enjoy the amazing country music scene the beautiful natural landcapes and the abundance of waterfalls and natural caves in 2023 the median home price in Tennessee was 360,000 which is significantly lower than the national average which is another nice benefit of Tennessee and number nine is New Hampshire like all the other states on this list New Hampshire does not have

a state income tax however it does tax dividends and interests just like Tennessee used to but also just like Tennessee they had a phase out on their investment income tax New Hampshire will phase out its tax on interest by 20127 when the tax will be entirely gone New Hampshire also has no state sales tax but it needs to generate Revenue somehow to fund its operation this is why the state has some of the highest property taxes in the country so if you own property in New Hampshire you can expect to pay very high property taxes

home prices are also relatively high in New Hampshire and in fact the median home home price right now in New Hampshire is $450,000 okay guys we have finished a list of states that do not have state income tax but just in case you forgot I'm going to go over the list really quickly number one is Alaska number two is Florida number three is Nevada number four is South Dakota number five is Texas number six is Washington number seven is Wyoming number eight is Tennessee and number nine is New Hampshire so if you're already living in

one of these states then congratulations you're saving a lot of money in state income taxes if you don't live in one of these states and if you're tired of paying state income taxes then you can always move to one of the nine states on this list if you have any questions about state income taxes then feel free to get in touch with my team you can click on the link below into today's description to schedule a free consultation if you have any real estate tax questions I also have a link to speak directly to my

real estate tax team in the description as well additionally I've included a link to my taxfree wealth challenge this is a 5-day event that you can attend digitally in which I discuss premium tax Tax Strategies that I don't discuss here on my YouTube channel if you sign up for VIP you'll also have a chance to speak directly with me about your specific tax situation this is definitely something that you do not want to miss out on finally there's a link to the tax Alchemy course Below in the description in this course I teach you how

to Leverage The Power of real estate investing to reduce your overall tax burden by incredibly large amounts real estate investing has long been favored by many of the wealthiest of Americans as a tax reduction strategy if you want to reduce your taxes like the top 1% of the wealthiest of Americans then feel free to check this course out as well okay that's all I've got for today let me know what you think of the state income tax rates in the comments below and I'll see you guys on the next video cheers