NOTE: State laws change frequently and the following information may not reflect recent changes in the laws. For current tax or legal advice, please consult with an accountant or an attorney since the information contained in this article is not tax or legal advice and is not a substitute for tax or legal advice.

When you decide to move from one state to another, one factor that should be taken into consideration is what type of taxes you will be charged in your new state of residence.

This will be particularly important for retirees since many are on fixed incomes and unanticipated taxes can wreak havoc on their retirement lifestyle.

States Without an Individual Income Tax

There are currently seven states that exempt all income earned by their residents from taxes: Alaska, Florida, Nevada, South Dakota, Texas, Washington and Wyoming.

While two states, New Hampshire and Tennessee, do not tax their residents' salaries or wages, they do collect taxes on interest and dividends.

States Without a State Sales Tax

There are currently five states that do not collect a state sales tax: Alaska, Delaware, Montana, New Hampshire and Oregon.

Although Alaska does not collect a state sales tax, 62 localities collect a local sales tax which ranges from 1% to 7%.

Although Delaware does not collect a state sales tax, it does collect a gross receipts tax from businesses which can equal up to 2.07% of the total receipts from goods sold and services rendered in the state.

Although New Hampshire does not collect a state sales tax, it does collect a tax on patrons of restaurants and hotels, prepared food, car rentals, tobacco, electricity, telecommunication services, real estate transfers and alcohol.

State Estate Taxes

Estate taxes, which are calculated based on the overall value of an estate as opposed to who inherits the estate, are currently collected in the following states: Connecticut, Delaware, District of Columbia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, New Jersey, New York, Oregon, Rhode Island, Tennessee, Vermont and Washington.

The state estate tax exemptions range from a low of $675,000 in New Jersey to a high of $5,430,000 in Delaware and Hawaii (for 2015). For a chart showing the current state estate tax exemptions, refer to the State Estate Tax and Exemption Chart.

It is important to note that as of January 1, 2014, federal estate tax laws were scheduled to revert to the laws that were in effect in 2001. Nonetheless, Congress and President Obama acted early in 2013 to fix this problem and so the state pick up tax, which would have allowed states like California and Florida to collect a state estate tax, was not reinstated.

State Inheritance Taxes

Inheritance taxes, which are calculated based on who inherits the estate as opposed to the overall value of the estate, are currently collected in the following states: Iowa, Kentucky, Maryland, Nebraska, New Jersey and Pennsylvania. (That's right, Maryland and New Jersey collect both state estate taxes and inheritance taxes.) In May 2013, Indiana's inheritance tax was repealed retroactively to January 1, 2013.

For a chart showing which beneficiaries are subject to inheritance taxes in the states that currently collect them, refer to the State Inheritance Tax Chart.

State Gift Taxes

Until recently, only one state collected gift taxes at the state level: Connecticut. However, in the late spring of 2013 Minnesota enacted a state gift tax that went into effect on July 1, 2013.

In May 2012, the Tennessee gift tax was retroactively repealed back to January 1, 2012.

Louisiana's gift tax was repealed on July 1, 2008, and North Carolina'sgift tax was repealed on January 1, 2009.

Overview of State Taxes

Below is a chart that shows which states currently collect state individual income taxes, state sales taxes, state estate taxes, state inheritance taxes, and/or state gift taxes.

NOTE: This chart shows which state governments collect these types of taxes; while some state governments may not collect a certain type of tax, local governments at the county or city level may collect one even if the state does not.

* Only tax interest and dividends, not salaries and wages

State Tax Chart

State	Individual Income Tax	Sales Tax	Estate Tax	Inheritance Tax	Gift Tax
Alabama	Yes	Yes	No	No	No
Alaska	No	No	No	No	No
Arizona	Yes	Yes	No	No	No
Arkansas	Yes	Yes	No	No	No
California	Yes	Yes	No	No	No
Colorado	Yes	Yes	No	No	No
Connecticut	Yes	Yes	Yes	No	Yes
Delaware	Yes	No	Yes	No	No
District of Columbia	Yes	Yes	Yes	No	No
Florida	No	Yes	No	No	No
Georgia	Yes	Yes	No	No	No
Hawaii	Yes	Yes	Yes	No	No
Idaho	Yes	Yes	No	No	No
Illinois	Yes	Yes	Yes	No	No
Indiana	Yes	Yes	No	No	No
Iowa	Yes	Yes	No	Yes	No
Kansas	Yes	Yes	No	No	No
Kentucky	Yes	Yes	No	Yes	No
Louisiana	Yes	Yes	No	No	No
Maine	Yes	Yes	No	No	No
Maryland	Yes	Yes	Yes	Yes	No
Massachusetts	Yes	Yes	Yes	No	No
Michigan	Yes	Yes	No	No	No
Minnesota	Yes	Yes	Yes	No	Yes, as of 7/1/13
Mississippi	Yes	Yes	No	No	No
Missouri	Yes	Yes	No	No	No
Montana	Yes	No	No	No	No
Nebraska	Yes	Yes	No	Yes	No
Nevada	No	Yes	No	No	No
New Hampshire	*Yes	No	No	No	No
New Jersey	Yes	Yes	Yes	Yes	No
New Mexico	Yes	Yes	No	No	No
New York	Yes	Yes	Yes	No	No
North Carolina	Yes	Yes	No	No	No
North Dakota	Yes	Yes	No	No	No
Ohio	Yes	Yes	No	No	No
Oklahoma	Yes	Yes	No	No	No
Oregon	Yes	No	Yes	No	No
Pennsylvania	Yes	Yes	No	Yes	No
Rhode Island	Yes	Yes	Yes	No	No
South Carolina	Yes	Yes	No	No	No
South Dakota	No	Yes	No	No	No
Tennessee	*Yes	Yes	Yes	No	No
Texas	No	Yes	No	No	No
Utah	Yes	Yes	No	No	No
Vermont	Yes	Yes	Yes	No	No
Virginia	Yes	Yes	No	No	No
Washington	No	Yes	Yes	No	No
West Virginia	Yes	Yes	No	No	No
Wisconsin	Yes	Yes	No	No	No
Wyoming	No	Yes	No	No	No