Tennessee vs Alaska Taxes (2026)

Side-by-side comparison of income tax, property tax, sales tax, capital gains, and retirement treatment between Tennessee and Alaska for tax year 2026. Use the calculator below to estimate how much you would save (or pay) after relocating.

TaxTennesseeAlaska
State income tax (effective)NoneNone
Long-term capital gainsNone (federal only)None (federal only)
Property tax (effective)0.71%1.19%
Combined sales tax9.56%1.80%
Retirement incomeno-taxno-tax
Income systemnonenone

Tax savings calculator

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$
$

Estimated 2026 burden

Tennessee total tax

$15,370

Alaska total tax

$15,370

Tennessee state tax

$0

Alaska state tax

$0

Difference

+$0

Alaska saves you money

As % of income

0.00%

Federal tax is identical in both columns and excluded from the difference. Numbers use 2026 IRS brackets, state effective rates, and the 3.8% NIIT where applicable.

Relocation analysis

On these inputs, Tennessee and Alaska produce roughly the same tax burden.

  • Property tax difference on a $400k home: $1,920/yr.
  • Sales tax difference on $50k of taxable spending: $3,880/yr.
  • Capital gains difference per $10k gain: $0.

Key differences

  • Tennessee: No personal income tax (Hall tax repealed); 6.5% franchise/excise on corps.
  • Alaska: No state corporate income tax on most pass-throughs; oil-revenue dependent.
  • Income system: Tennessee is none, Alaska is none.
  • Retirement: Tennesseeno tax; Alaskano tax.

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Comparison FAQs

It depends on income mix. Alaska has an effective income rate of 0% vs Tennessee's 0%. Property tax (0.71% vs 1.19%) and sales tax can swing the answer.

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