By Brian Baker, CFA, Bankrate.com

When their working days eventually come to an end, many retirees will think about the best place to spend their golden years . Not all states treat retirement income — such as pension payouts or distributions from 401(k) plans and IRAs — the same way, which makes state and local taxes a key consideration for anyone expecting to be on a fixed income during this time.

Here’s what you need to know about how different states tax retirement income, including the states where you won’t pay taxes at all.

States with no income tax

Retirement distributions from 401(k) plans or IRAs are considered income for tax purposes.

Fortunately, there are several places with no state income tax: Alaska, Florida, New Hampshire, Nevada, South Dakota, Tennessee, Texa

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