Stacy Sare Cohen

Mon, June 15, 2026 at 5:47 AM EDT 4 min read

Amazon founder Jeff Bezos didn't just trade rain for sunshine when he moved from Washington to a "Billionaire Bunker" in Florida. He lowered his tax liability by nearly $1 billion, according to My CPE.

Learn More: 5 Tax Loopholes the Ultra-Wealthy Use That Most Americans Don't Know About 

Find Out: 10 Low-Effort Ways To Make Passive Income (You Can Start This Week) 

However, tax shelters aren't only for the rich. Here are five ways you can create your own — and keep more money in your wallet.

Relocate To A State With Tax Shelters

Moving to a state with no individual income tax, corporate income tax, inheritance tax, estate tax, or capital gains tax can serve as a tax shelter. According to AARP, the following nine states offer Americans tax shelters.

• Alaska: The last frontier has no income tax, state tax, inheritance tax, or long-term capital gains tax, and the state exempts adults 65 and older from paying the first $150,000 of their assessed property value. 

• Florida: The Sunshine State has no individual income tax, long-term capital gains tax, estate tax, or inheritance tax. However, the combined state and local tax equals 7%.

• Nevada: No capital gains tax, inheritance tax, or estate tax and property tax is kept low at 0.49%. However, state and local taxes combined average 8.24%.

• New Hampshire: The Granite State offers tax shelters, including no estate tax, sales tax or taxes on interest and dividends.

• South Dakota: The state has no corporate or individual income tax, estate tax or inheritance tax. Combined state and local sales tax is 6.11%, and property tax is 0.99%. However, eligible retirees may be refunded property and sales taxes, and the state offers property tax relief funds.

• Tennessee: Residents do not have to pay taxes on income, estates, or inheritance, and the property tax remains low at 0.49%, with relief for retirees, low-income, veterans, and military families. Combined state and local sales taxes are high at 9.61%. 

• Texas: No income tax, corporate tax, estate or inheritance tax. However, local and statewide tax is 8.25%. Property tax rates are 1.36%. However, the state offers relief, such as the Homestead exemption and a $60,000 exemption for seniors and disabled persons.

• Washington: No individual income tax and low property taxes. However, it imposes a 35% real estate tax and a 9.9% capital gains tax on high earners, which allowed Bezos to save millions in taxes by moving to Florida.

• Wyoming: No state income, corporate, estate or inheritance taxes. Property taxes average 0.55%, with a 25% exemption on the first $1 million of single-family homes, relief programs for seniors over 62, veterans and disabled persons. Combined state and local sales tax averages 5.56%.