Alabama Income Tax Calculator
Figure basis: Official Alabama Department of RevenueAlabama income tax is calculated on your taxable income after deductions and exemptions. This calculator estimates your Alabama state income tax liability for the current tax year. Enter your annual gross income, choose your filing status (single, married filing jointly, married filing separately, or head of household), and add any pre-tax deductions to see your estimated state tax, effective tax rate, and marginal bracket. Results update in real time as you adjust your inputs. The calculator covers Alabama state income tax only; federal income tax, FICA payroll taxes, and any local income taxes your city or county imposes are separate. All rates and brackets are sourced directly from Alabama Department of Revenue and are verified for the current tax year. Use this tool alongside the federal income tax calculator to see your combined total tax liability. Effective rate and marginal rate are both shown so you can evaluate the impact of additional income, filing status changes, or increased pre-tax contributions to a 401(k) or similar plan.
Alabama uses graduated income tax brackets. A single filer earning $60,000 owes $2,810.00 in state income tax, an effective rate of 4.68% and a marginal rate of 5%. Enter your own income and filing status below.
Bracket breakdown
| Income range | Rate | Tax in bracket |
|---|
How Alabama income tax works
Alabama taxes income using a graduated three-bracket structure under Alabama Code §40-18-5. The brackets for single filers are: 2% on the first $500, 4% on $501-$3,000, and 5% on income over $3,000. Married filing jointly brackets are doubled. These bracket thresholds have not been updated in many decades. Alabama is one of only a few states that allows residents to deduct federal income taxes paid on the state return (Alabama Code §40-18-15), which can meaningfully reduce Alabama taxable income. Your result updates the page link, so you can copy a permalink to any calculation.
taxable income = gross income - standard deduction
state income tax = sum of (income in each bracket x bracket rate / 100)
effective rate = state income tax / gross income x 100
marginal rate = rate of the highest bracket reached
Alabama income tax brackets (2025)
The table below shows the Alabama graduated income tax brackets for single filers, as published by the Alabama Department of Revenue and verified Jul 16, 2026. Thresholds for other filing statuses may differ; use the calculator above to select your status.
| Income range | Rate | Source |
|---|---|---|
| $0.00 to $499.00 | 2% | Alabama Department of Revenue |
| $500.00 to $2,999.00 | 4% | Alabama Department of Revenue |
| Over $3,000.00 | 5% | Alabama Department of Revenue |
The two quirks that shape an Alabama tax bill
Alabama's headline rates look gentle: 2% on the first $500 of taxable income, 4% on the next slice up to $3,000, and 5% above that for single filers, with those thresholds doubled for married couples filing jointly. The brackets, though, are the real story. They have not been adjusted in decades, so nearly every full-time worker clears the $3,000 mark within the first weeks of the year and pays the 5% top rate on the large majority of income. In practice Alabama behaves much like a near-flat 5% state.
The offsetting quirk is the federal income tax deduction. Alabama is one of only a small group of states (under Alabama Code 40-18-15) that lets residents subtract the federal income tax they actually paid from their Alabama taxable income. For higher earners with a large federal bill, that deduction can meaningfully lower the state total, which is why two people with identical gross pay can owe different amounts of Alabama tax depending on their federal situation.
A few extras are worth remembering. Alabama does not tax Social Security benefits. The standard deduction phases down as income rises, sliding from a maximum of $3,000 (single) or $8,500 (married filing jointly) toward a floor, and separate personal and dependent exemptions apply on top. Groceries also remain taxable at the state level, which is increasingly unusual among the states.
Alabama income tax: frequently asked questions
How much is the Alabama income tax on a $60,000 salary?
A single filer earning $60,000 a year in Alabama has a taxable income of $57,000.00 after the standard deduction. The computed state income tax is $2,810.00, an effective rate of 4.68%. Enter your own income above for an exact figure.
What is the Alabama state income tax rate?
Alabama has graduated income tax brackets. The marginal rate depends on your taxable income and filing status. For a single filer earning $60,000 the marginal rate is 5%.
What filing statuses does Alabama income tax apply to?
Alabama income tax applies to single filers, married couples filing jointly, head of household filers and married couples filing separately. Bracket thresholds and standard deductions may differ by filing status.
What are Alabama's income tax rates for 2025?
Alabama uses a graduated three-bracket income tax under Alabama Code §40-18-5. For single filers: 2% on the first $500, 4% on $501-$3,000, and 5% on income over $3,000. For married filing jointly: 2% on the first $1,000, 4% on $1,001-$6,000, and 5% on income over $6,000. Head of household and married filing separately use the single brackets.
What is Alabama's standard deduction?
Alabama's maximum standard deduction is $3,000 for single filers, $8,500 for married filing jointly, $4,250 for married filing separately, and $5,200 for head of family (head of household). These amounts phase down as income rises, reaching a floor of $2,500 ($5,000 for married filing jointly) at $35,500 of Alabama total income and above. Alabama also provides personal exemptions of $1,500 for single and married filing separately filers and $3,000 for married filing jointly and head of family, plus $1,000 per qualifying dependent, under Alabama Code §40-18-19.
Can Alabama residents deduct federal income taxes on their state return?
Yes. Alabama is one of only a handful of states that allows a deduction for federal income taxes paid. This deduction, under Alabama Code §40-18-15, can significantly reduce Alabama taxable income for taxpayers who owe substantial federal tax. The deduction applies to the actual federal income tax liability, not estimated payments, and is claimed on the Alabama return.
Does Alabama have any other notable tax features?
Alabama does not tax Social Security benefits. Food purchased for home consumption is subject to Alabama sales tax but exempt from some local sales taxes, making Alabama notable for still taxing groceries at the state level (though the state grocery rate was reduced to 3% in 2023). Alabama's income tax bracket thresholds are very low and have not been updated in decades, meaning most taxpayers quickly reach the 5% top bracket.
Official sources
- Alabama income tax rates (tax year 2025): Alabama Department of Revenue, as at Jul 16, 2026.
Reviewed by the CalculatorHub team, edited by James Graham, 11 June 2026. See our methodology. General information, not financial or tax advice.