Best Places to Retire in Texas for Taxes

Quick answer

The most tax friendly places to retire in Texas in 2026 are Austin, Fort Worth, and Vernon. Austin ranks first, with tax friendliness of 100. Rankings below cover 15 Texas cities and measure state and local tax burden on retirement income, including income, property, and sales tax, using the Tax Foundation and state Departments of Revenue.

Find the most tax-friendly cities in this state for retirees, including locations with favorable local tax treatments. When choosing a retirement destination in Texas, taxes is often a top priority. The cities below are ranked by state and local tax burden on retirement income, including income, property, and sales tax, drawn from the Tax Foundation and state Departments of Revenue and refreshed for 2026.

Source: the Tax Foundation and state Departments of Revenue. See our full methodology and data lineage →

Ranked #1 of 15 Texas cities for taxes, with tax friendliness of 100.

Tax Friendliness

100

Ranked #2 of 15 Texas cities for taxes, with tax friendliness of 100.

Tax Friendliness

100

tax-friendly for retireesestablished retirement community

Ranked #3 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for tax-friendly for retirees and established retirement community.

Tax Friendliness

100

tax-friendly for retireesestablished retirement community

Ranked #4 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for tax-friendly for retirees and established retirement community.

Tax Friendliness

100

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Ranked #5 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #6 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #7 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #8 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #9 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #10 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #11 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #12 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Ranked #13 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

established retirement community

Ranked #14 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

established retirement community

Ranked #15 of 15 Texas cities for taxes, with tax friendliness of 100. Retirees choose it for established retirement community.

Tax Friendliness

100

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Frequently asked questions

What is the best place to retire in Texas for taxes?

Austin ranks first among Texas retirement cities for taxes, with tax friendliness of 100. Fort Worth and Vernon follow closely behind. Rankings use the Tax Foundation and state Departments of Revenue.

How does RetireCityIQ rank Texas cities for taxes?

Each city is scored on state and local tax burden on retirement income, including income, property, and sales tax, sourced from the Tax Foundation and state Departments of Revenue. Cities are then ordered from highest to lowest on that metric. See our methodology page for the full scoring model and data lineage.

Which Texas cities are covered in these taxes rankings?

These rankings cover 15 Texas retirement cities, including Austin, Fort Worth, Vernon, Brenham, El Paso, and more. Each links to a full retirement guide with cost of living, taxes, healthcare, and climate data.

Other Texas Retirement Guides