The State of Alabama Department of Revenue offers new Business Workshops on a regular basis. Local Cities and Counties Tax Rates Text File. You can save time and money by electronically filing your Alabama income tax directly with the . Depending on the state, local income taxes may be levied by counties, municipalities, school districts, or special districts, with most levied by municipalities (3,816) and school districts (954). For details on specific deductions available in Alabama, see the list of Alabama income tax deductions. Income tax deductions are expenses that can be deducted from your gross pre-tax income. In addition, Alabama allows some or all of federal income tax paid to be deducted from state taxable income. An individual's tax liability varies according to his or her tax bracket. However, rates could be higher depending on where in Alabama you live or work, as local governments can also collect income taxes ranging from 0% to 2%. For single people, heads of families and married people filing separate returns: 1. Note: Figures show permanent law in Alabama enacted through September 10, … Alabama State Labor Laws. My Alabama Taxes (MAT) is a convenient and secure way to interact with the Alabama Department of Revenue to access a variety of online services. Registration using the Form SR-2 can be done online using the eGov system. Like the Federal Income Tax, Alabama's income tax allows couples filing jointly to pay a lower overall rate on their combined income with wider tax brackets for joint filers.. A tax bracket is the income range to which a tax rate applies. 4% on taxable income between $1,001 and $6,000. Expand sections by using the arrow icons. E-filing your return and filing early can help ensure your refund check gets sent as quickly as possible. See Form W-2 Requirements. Gov. Local Laws. 4% Next $2,500 of taxable income. Alabama's income tax code follows the progressive model, in that the lowest earners pay the lowest rate (2 percent), while the top income bracket (paying a 5 percent rate). Choose any locality for details. 4% on taxable income between $501 and $3,000. Almost all Alabama Department of Revenue tax forms can be electronically submitted through Alabama's e-File system. You may also electronically file your Alabama tax return through a tax preparer or using. Below, we have highlighted a number of tax rates, ranks, and measures detailing Alabama’s income tax, business tax, sales tax, and property tax systems. You can use our free Alabama income tax calculator to get a good estimate of what your tax liability will be come April. The City of Tuscaloosa is pleased to announce our participation in the Alabama Department of Revenue paperless filing and payment system. 1.00%. Occasionally, the City utilizes the services of third-party companies to conduct audits of taxpayers' records. provides a printable Alabama datasheet including an income tax table, a list of Alabama tax deductions, important URLs and addresses, and more. Please remember that the income tax code is very complicated, and while we can provide a good estimate of your Federal and Alabama income taxes, your actual tax liability may be different. provides free access to tax rates, calculators, and more. It should take one to three weeks for your refund check to be processed after your income tax return is recieved. Section 40-14a-21 to 40-14a-29 Privilege Tax. Search by Keyword or … The Alabama Department of Labor for employer unemployment taxes. Always check the source. Complete list of Alabama local taxes. 4% Next $5,000 of taxable income. If you believe Alabama issued you an incorrect income tax refund, or if you didn't get your Alabama tax refund, submit a completed Form IT:489 to the Alabama Department of Revenue. (Includes both state-administered local taxes, as well as nonstate-administered local taxes.) 2. Find Local Tax Last Updated Tuesday, December 15, 2020. 5% on all taxable income over $3,000. Alabama collects income taxes from its residents at the following rates. Local Laws. fields separated by commas), that contains local tax rate information for all Alabama cities and counties that levy a sales, use, lodgings or rental tax.