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State retirement taxes · 2026

Does Alaska tax retirement income?

Short answer: No. Alaska has no individual income tax, so Social Security is not taxed. The individual income tax was repealed in 1980, and there is no statewide sales tax.

Tax-free retirement income2026 rules Verified October 23, 2026

What’s taxed in Alaska

2026 rules.

Social SecurityNot taxed
Alaska has no individual income tax, so Social Security is not taxed.
PensionsNot taxed
Pensions are not taxed — Alaska has no individual income tax.
IRA & 401(k) withdrawalsNot taxed
IRA and 401(k) withdrawals are not taxed.
Military retirement payNot taxed
Military retirement pay is not taxed.
Income tax rateNone
No individual income tax.

Does Alaska tax Social Security?

Alaska has no individual income tax, so Social Security is not taxed.

The legislature repealed the state income tax on individuals in 1980 (AS 43.20.011). No retirement income of any kind is taxed by the state.

Your federal return is a separate question — see how much of your benefit the IRS taxes with the taxable Social Security calculator.

Are pensions taxed in Alaska?

Pensions are not taxed — Alaska has no individual income tax.

Public and private pensions are untaxed because there is no state income tax on individuals.

Are IRA and 401(k) withdrawals taxed in Alaska?

IRA and 401(k) withdrawals are not taxed.

With no individual income tax, withdrawals and required minimum distributions owe no state tax.

Required minimum distributions (RMDs) are IRA and 401(k) withdrawals, so the same rules apply. Estimate your RMD.

Is military retirement pay taxed in Alaska?

Military retirement pay is not taxed.

What is Alaska’s income tax rate?

Alaska has no broad income tax.

No individual income tax. Alaska also has no statewide sales tax, though some local governments charge their own sales taxes.

What tax breaks do seniors get in Alaska?

Not applicable to income tax.

What changed for 2026?

We found no enacted proposal to bring back an individual income tax.

Alaska repealed its individual income tax in 1980.

How Alaska compares

Alaska has no land border with another state, so here are other states we rate “Tax-free retirement income”.

State tax is half the picture — check the federal side

Is My Social Security Taxable?How much of your Social Security is taxable using the IRS worksheet — and what the new $6,000 senior deduction changes.Open RMD CalculatorYour required minimum distribution for 2026 or 2027, the exact deadline, and the IRS table math behind it.Open IRMAA CalculatorWill your income trigger Medicare's IRMAA surcharge? See your tier, the yearly cost, and how far you are from the next cliff.Open

Alaska retirement tax questions

Does Alaska tax Social Security or pensions?

No. Alaska has no individual income tax, so Social Security is not taxed. The legislature repealed the state income tax on individuals in 1980 (AS 43.20.011). No retirement income of any kind is taxed by the state.

Are IRA withdrawals and RMDs taxed in Alaska?

No. IRA and 401(k) withdrawals are not taxed. With no individual income tax, withdrawals and required minimum distributions owe no state tax.

Is Alaska tax-friendly for retirees?

We rate Alaska “Tax-free retirement income” for 2026. The individual income tax was repealed in 1980, and there is no statewide sales tax. Our rating covers state income tax only — not property or sales taxes, which can still matter.

Is military retirement pay taxed in Alaska?

No. Military retirement pay is not taxed.

Sources for Alaska

Primary sources only. We re-check them whenever an agency publishes new figures.

  1. State
    Alaska Department of Administration — Alaska Administrative Manual 360
  2. State
    Alaska Department of Revenue — Fall 2018 Revenue Sources Book release
  3. State
    Alaska Tax Division — Annual Report

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