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.