State income tax: 5.35% - 7.85%
State sales tax: 6.875%
Mean property tax rate as a percentage of mean home value: 1.09%
Property tax ranking: 19
Estate tax: 0.8% - 16%, with $1 million exemption
Inheritance tax: None
The North Star State where ice hockey reigns and moose roam free gives retired residents a chilly reception.
Minnesota imposes a hefty personal income tax, sale tax (though food, clothing and medication is exempt) and property tax. It also taxes retirement income, including Social Security benefits and pensions, and wants a piece of your estate.
The state does offer a break to those 65 and older with household incomes of $60,000 or less, with a property tax deferral program that limits the amount of property tax they pay to 3 percent of total household income.