Alabama income tax calculator
Estimate your 2026 Alabama and federal income tax and whether you will get a refund. A single filer earning $75,000 owes about $3,128 in Alabama income tax and $7,676 in federal income tax.
By John Crane, MBA & the Editorial Team · Updated for the 2026 tax year. How we check our numbers
Estimated federal amount owed
$876.00
Federal tax $9,876 · Alabama owed $3,518
| Federal tax | $9,876 | 11.6% |
|---|---|---|
| Alabama and local tax | $3,518 | 4.1% |
| Income after these taxes | $71,606 | 84.2% |
- Adjusted gross income
- $85,000
- Taxable income
- $68,900
- Deduction used
- Standard $16,100
- Federal bracket
- 22%
- Effective federal rate
- 11.6%
- AL tax after credits
- $3,518
Where your federal tax comes from
Ordinary income by bracketFederal return summary
Form 1040, 2026| Line | Amount |
|---|---|
| Total income | $85,000.00 |
| Adjustments | -$0.00 |
| Adjusted gross income | $85,000.00 |
| Standard deduction | -$16,100.00 |
| Taxable income | $68,900.00 |
| Income tax | $9,876.00 |
| Total federal tax | $9,876.00 |
| Withholding and estimated payments | $9,000.00 |
| Federal amount owed | $876.00 |
Alabama return
Latest rules (2026)| Line | Amount |
|---|---|
| State taxable income | $71,124.00 |
| Tax before credits | $3,518.00 |
| State tax after credits | $3,518.00 |
| State withheld | $0.00 |
| State amount owed | $3,518.00 |
- 2025 booklet figures; statutory amounts are not indexed and unchanged for 2026.
Income tax in Alabama
- Alabama taxes income at 2%, 4% and 5%, with the 5% rate starting above $3,000 of taxable income ($6,000 for joint filers).
- Residents deduct the federal income tax they paid, a standard deduction that shrinks as income rises (starting at $3,000 single or $8,500 joint), and a personal exemption of $1,500 ($3,000 joint).
- Social Security and defined-benefit or government pensions are fully exempt, and taxpayers 65 or older can exclude up to $6,000 each of other retirement income such as IRA and 401(k) distributions.
- Alabama has no state EITC or child tax credit, and local occupational license taxes are collected separately from the state return.
2026 income tax at common incomes (wages only, standard deduction)
| Income | Federal tax, single | Alabama tax, single | Alabama rate, single | Alabama tax, married |
|---|---|---|---|---|
| $40,000 | $2,623 | $1,628 | 4.1% | $1,483 |
| $60,000 | $5,023 | $2,508 | 4.2% | $2,378 |
| $75,000 | $7,676 | $3,128 | 4.2% | $3,038 |
| $100,000 | $13,176 | $4,103 | 4.1% | $4,138 |
| $150,000 | $24,734 | $6,021 | 4.0% | $6,251 |
Rates
Top rate 5%. At $75,000 of wages, each extra $1,000 adds about $40 of Alabama tax.
Family example
A married couple earning $60,000 with two children and $4,000 of child care: Alabama tax of $2,473 before credits, no state credits, for $2,473 owed.
Local income tax
None figured on the Alabama return.
Examples assume wages only, the standard deduction and no other income. These state figures are an estimate; see the sources note. See what comes out of each check in the Alabama paycheck calculator.
More for Alabama: Alabama paycheck calculator · Alabama mortgage calculator · Alabama home affordability calculator
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How this is calculated
Federal return
The 2026 Form 1040: standard or itemized deduction, the new Schedule 1-A deductions, tax rates, child tax credit, child and dependent care credit and EITC.
Alabama
Alabama's 2026 resident return: its starting point, Social Security and retirement adjustments, deductions, exemptions, rates and main credits.
Sources
Official Alabama tax guidance (2 sources), checked for 2026. 2025 booklet figures; statutory amounts are not indexed and unchanged for 2026.
Sources
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Questions
How much Alabama income tax do I pay on $75,000?
About $3,128 for a single filer with only wage income and the standard deduction (4.2% of income), or $3,038 for a married couple filing jointly on the same income. Federal income tax on $75,000 for a single filer is about $7,676.
What is Alabama's top income tax rate in 2026?
5% on the highest incomes. At $75,000 of wages, each extra $1,000 adds about $40 of Alabama tax.
Does Alabama tax Social Security and retirement income?
Partly. A single retiree aged 67 with $30,000 of Social Security and $30,000 of pension or IRA withdrawals owes about $828 in Alabama income tax in 2026. Exclusions depend on age, income and the type of retirement income.