The nine states with no income tax
Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming do not tax wages or other personal income in 2026. Every other state taxes wages. New Hampshire is the most recent addition: it repealed its tax on interest and dividends from 2025.
| State | What to know |
|---|---|
| Alaska | No personal income tax. |
| Florida | No personal income tax. The state constitution prohibits a tax on the income of individuals. |
| Nevada | No personal income tax. The state constitution prohibits a tax on wages or personal income. |
| New Hampshire | Wages were never taxed. Its 3% tax on interest and dividends was repealed for tax periods beginning on or after January 1, 2025. |
| South Dakota | No personal income tax. |
| Tennessee | Wages were never taxed. The Hall tax on interest and dividends was repealed for tax years beginning on or after January 1, 2021. |
| Texas | No personal income tax. The state constitution prohibits one. |
| Washington | No tax on wages. Washington taxes long-term capital gains above an annual deduction ($278,000 for 2025) at 7%, plus 2.9% on gains over $1 million. A 9.9% tax on income over $1 million is due to start in 2028 (see below). |
| Wyoming | No personal income tax. |
Washington’s new tax on income over $1 million
In March 2026 Washington enacted a 9.9% tax on individual income above $1 million a year (Senate Bill 6346, Chapter 238, Laws of 2026). It is due to apply from January 1, 2028, so it does not affect 2026 or 2027 income. Opponents have challenged it in Klickitat County Superior Court, arguing that the state constitution does not allow a graduated income tax. When we checked on October 23, 2026, we found no ruling on its constitutionality. Income below $1 million would remain untaxed either way.
No income tax does not mean low taxes
States without an income tax still raise revenue through other taxes, such as sales, property and business taxes. The table compares the nine states using measures from our own rankings: the state sales tax rate, the effective property tax rate, the overall price level and median household income. Rank 1 is the highest of the 50 states.
| State | State sales tax (2026) | Property tax rate (2024) | Price level, U.S. = 100 (2024) | Median household income (2024) |
|---|---|---|---|---|
| Alaska | None | 1.06% · #16 | 102.4 · #13 | $95,665 · #11 |
| Florida | 6% · #17 | 0.75% · #26 | 103.4 · #10 | $77,735 · #26 |
| Nevada | 6.85% · #7 | 0.47% · #44 | 100.0 · #17 | $81,134 · #22 |
| New Hampshire | None | 1.46% · #4 | 104.2 · #8 | $99,782 · #6 |
| South Dakota | 4.2% · #39 | 1.02% · #18 | 88.6 · #45 | $76,881 · #29 |
| Tennessee | 7% · #2 | 0.45% · #45 | 91.9 · #37 | $71,997 · #40 |
| Texas | 6.25% · #13 | 1.31% · #8 | 97.1 · #24 | $79,721 · #24 |
| Washington | 6.5% · #9 | 0.79% · #24 | 107.0 · #5 | $99,389 · #7 |
| Wyoming | 4% · #40 | 0.57% · #37 | 92.7 · #35 | $75,532 · #32 |
New Hampshire and Texas rank among the 10 states with the highest effective property tax rates. Nevada, Tennessee, and Washington have a state sales tax of 6.5% or more. Alaska, Florida, New Hampshire, and Washington have prices above the national level. A household’s total tax bill depends on where it lives, what it earns, what it spends and whether it owns a home, so no single ranking settles which state is cheapest for taxes.
How we check this page
This page summarizes tax law; it is not tax advice. We checked each statement on October 23, 2026 against the state revenue departments and legislature linked above and the Tax Foundation’s 2026 state income tax rates (published February 17, 2026). Most state tax changes take effect on January 1, and we review the page after each year’s legislative sessions. If a state’s law has changed, tell us.