Guide To 20 States With Lowest Taxes In 2022
Everyone is looking to lower their tax bill. So, if you plan on moving soon, you might, among other research, look for states with lowest taxes. Well, if that is the case, this is the right article for you. We are going to talk about the top 20 states with low taxes in 2022 to move to. In addition to this, we will briefly explore the importance of hiring the help of reliable moving professionals from a trusted database such as the one provided by Best Long Distance Movers. Without further ado, let’s take a closer look.
Coming up as number one on our list, we have Alaska. Among the many pros of living in Alaska, two of them are no state income tax as well as no sales tax in the state of Alaska. The total state and local tax burden are the lowest of all 50 states. A thing to keep in mind, however, is that the cost of living in Alaska is a little higher than in many other states. This is of course, mostly due to the state’s remote location. Furthermore, Alaska has one of the highest healthcare costs.
On the other hand, Alaska offers many things including gorgeous landscapes, calm and quiet cities, plenty of choices when it comes to working for those looking for a job, and excellent education. For all of these reasons, Alaska is definitely one of the states with lowest taxes. In case you plan on moving to Alaska, make sure you have reliable long-distance movers Alaska to assist you.
The state of Wyoming is one of the most tax-friendly states in the whole US. There is no income tax in Wyoming. What makes Wyoming extremely unique is its incredibly low sales taxes and property taxes. The state sales tax rate in Wyoming is sitting at around 4%. State and local sales tax rates, when combined, are the eight-lowest in the country. Low property taxes make family life quite affordable. Many families are moving to this region.
The Lone Star State is next on our list. The state of Texas is also a state with no income tax. Texas relies on income from sales and excise taxes. Sales taxes can be quite high in certain regions of Texas. However, the cost of living is quite affordable, even in larger cities. There are plenty of career and job opportunities as Texas is one of the fastest developing states in the US. Many different industries and infrastructures are based here. If you are moving to the state of Texas, do your research and find trusted long-distance movers Texas to help you relocate there.
The overall tax burden in the state of Florida is the sixth-lowest in the entire US. Florida is not as affordable as Texas for example, but it makes up for it with other things. This state features warm temperatures and a large population of retirees. Many families move here as well. An important thing to keep in mind is that sales and excise taxes in Florida are above the national average. Furthermore, although it has a very lost tax bill when compared to the national average, Florida has higher-than-average housing costs. Relocating to Florida is easy when you have the help of trusted and reliable best long-distance movers Florida by your side.
The Silver State has no income tax. Middle-class families enjoy Nevada for other reasons as well. Property taxes are extremely low in this region. Sales taxes, on the other hand, are slightly higher so that is something to take into consideration.
South Dakota is another no income tax state. To keep its residents’ income tax-free, it has higher property and sales tax rates. However, those looking to live in a low tax state can enjoy South Dakota as it’s ranked the state 8th in terms of the overall tax burden. The state is very affordable when it comes to the cost of living. Relocate to South Dakota with the help of trusted long-distance movers South Dakota.
Delaware’s property taxes are extremely low. They are among the lowest in the nation. In the state of Delaware, property tax collections amount to less than 1.8% of personal income. Furthermore, Delaware is one of the few states that collects no sales tax. However, the state income tax is a little higher. Overall, Delaware is an excellent state to relocate to if you are looking for low taxes. Move to Delaware easily and stress-free by relocating with the best long-distance movers Delaware.
Arizona shortened its state income tax quite modestly. Personal income taxes are quite low but sales taxes are definitely pricier. Overall, the statewide sales tax sits at around 5.6%. On the other hand, the average local rate is 2.79%. If you plan on relocating your business here, you will be happy to hear that the corporate income tax rate is one of the lowest in the country. The income tax rates for retirees are low and are getting even lower. Move to Arizona safely by enlisting the help of trustworthy long-distance movers Arizona.
The state of Tennessee has a very unique tax system. To begin with, Tennessee does not tax personal wages and salaries. However, it did charge tax on an individual income tax on interest and dividends. This has been slowly phased out throughout 2020 and 2021. Tennessee has the nation’s highest sales tax so that is something to keep in mind.
North Dakota does have state income tax however it is relatively minuscule. Sales taxes are around the national average or in certain regions below it. Furthermore, the average combined state and local sales tax rate is 6.96%, which is quite good. Property taxes in North Dakota are not extremely cheap but overall, they are quite reasonable. This is great news, especially for mid-level earners.
Alabama is very tax-friendly especially when it comes to retirees. The state of Alabama doesn’t tax Social Security benefits. Most government pension funds are also not taxed. In this state, the median property tax rate is the second-lowest in the country. One of the main reasons this state is so good for retirees is because all homeowners 65 or older are exempt from the state portion of property taxes.
Coming up on our list is Colorado, another state excellent for retirees and families and counts among states with lowest taxes. Aside from gorgeous landscapes and plenty of outdoor activities, families and retirees enjoy Colorado because it has the third-lowest median property tax in the country. An estate or inheritance tax is also not imposed in Colorado. Sales tax, on the other hand, is higher and something to pay close attention to. State sales tax is low, but, local governments can tack on as much as 8.3% on sales tax. The result of this is that when combined, local and state tax goes above the national average. Relocate to the state of Colorado easily with the assistance of the best long-distance movers Colorado.
Income tax breaks and Social Security benefits are a few reasons South Carolina is considered a tax-friendly state. South Carolina also has low property tax rates. Average property tax is the sixth-lowest in the country. There is also no estate and inheritance tax. Sales taxes, however, are on the high end. Move to the state of South Carolina by hiring the right long-distance movers South Carolina to help you.
The state of Washington has no income tax and this is the reason it comes up on our list of tax-friendly states . Without that, Washington would not be a tax-friendly state especially not for middle-class families. The state of Washington imposes a 7% tax rate on sales income. This makes sales taxes pretty high in Washington. Property taxes in this state are relatively modest. However, all things considered, the average tax bill in the state of Washington will run you about $2,787 per year. Overall, that is the middle of the pack when you compare it to other states. Move to Washington quickly and successfully with the help of the best long-distance movers Washington.
This one might come as a surprise, but for an average, middle-class family, the taxes in California are relatively low. The state income tax range is around 1%. A big deal would be California’s 13.3% income tax rate however, a very small number of people pay at that rate. Low property taxes help retirees in California too. There are 10 different tax rates in California. The middle-income family falls into the state’s 6% tax bracket which is not bad. Relocate with your family to the state of California with the best long-distance movers California by your side.
Additional 5 states with the lowest taxes
Overall, we have listed the top states in the country that are most tax-friendly and some of the states with lowest taxes. However, there are a few more states which can be considered tax-friendly if you look at the stats. So, those are the following:
On a charter list, these states would have a rating of C when all of the different tax systems and rates are looked at. However, that is still a far better rating than for example states such as New York or New Jersey.
Relocating long-distance is complicated but can be done stress-free with the help of reliable movers
So, to conclude this article, let us take a look at the importance of having reliable movers by your side when doing a state-to-state relocation. Let’s say you have found your perfect state tax-wise and are now looking to move there. A DIY move is not advisable for long-distance relocations. Therefore, you will need to find a moving company. However, there are a ton of different moving companies out there and sadly not all of them can be trusted. So, it is important to do research and enlist the help of trusted long-distance movers. This is not that difficult when you have access to a valid and trusted database of long-distance movers that can help you find the right moving company for you. Best Long Distance Movers stand ready to help you find your dream movers and relocate to your new home stress-free.
The benefits of hiring reliable movers
What are exactly the benefits of hiring experienced and reliable movers? To begin with, you get to choose from a wide range of different, quality moving services. Furthermore, you do not have to worry about the safety of your inventory. All of your items are safe and protected throughout the process of relocation. In addition to this, you can count on reliable movers to help you with additional moving services such as packing for example. Whichever state in the USA you are relocating to, you can count on experienced movers to help you execute your relocation stress-free and successfully.
So, in summary, after you are done researching states with lowest taxes and find the one that suits you, be sure to do a lot of research as well in order to hire reliable long-distance movers. With reliable movers by your side, you will relocate stress-free and in no time!