Finance

Alabama State Income Tax Calculator

Calculate Alabama income tax using 2024 rates, deductions, and personal exemptions.

AL allows deduction of federal tax paid
Alabama Tax Brackets (2024):
2% on first $500 (single) / $1,000 (MFJ)
4% on next $2,500 (single) / $5,000 (MFJ)
5% on income over $3,000 (single) / $6,000 (MFJ)
Note: Alabama allows deduction of federal income tax paid

Alabama Tax Overview

Alabama has a three-bracket progressive income tax with a unique feature: you can deduct your federal income tax from your Alabama taxable income. This effectively lowers the state tax burden, especially for higher earners.

Standard Deductions (2024)

StatusStd DeductionPersonal Exemption
Single$2,500$1,500
Married Filing Jointly$7,500$3,000
Head of Household$4,700$3,000

Key Features

  • Federal tax deductible on state return
  • Dependent exemption: $1,000 per dependent
  • Top rate of 5% starts at only $3,001 (single)