Alabama Income Tax (2026)

Info: Graduated 2%–5%; top rate 5% applies to taxable income over $3,000, so nearly all wage earners pay 5%.

InfoVerified May 31, 2026

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Official source: revenue.alabama.gov →

General legal information, not legal advice — verify important decisions with a licensed attorney.

Income Tax in states bordering Alabama

The same rule in each neighboring state LawLert has verified, from that state’s own official source.

FloridaPermitted
No state individual income tax — Florida does not tax wages, salaries, or other personal income.
Verified May 31, 2026 · Source: floridarevenue.com · Full Florida rule →
GeorgiaInfo
Flat 4.99% for 2026, reduced from 5.19% effective Jan 1, 2026 (HB 111), with further 0.10-point annual cuts planned toward 3.99%.
Verified May 31, 2026 · Source: dor.georgia.gov · Full Georgia rule →
MississippiInfo
Income over $10,000 is taxed at a flat 4.0% for 2026 (first $10,000 exempt), down from 4.4% in 2025. Under the 2025 Build Up Mississippi Act the rate falls to 3.75% in 2027 and 3.0% by 2030, with further growth-triggered cuts toward elimination.
Verified Jul 15, 2026 · Source: billstatus.ls.state.ms.us · Full Mississippi rule →
TennesseePermitted
No state individual income tax — 0% on wages and investment income (the Hall tax on interest/dividends was fully repealed in 2021).
Verified May 31, 2026 · Source: tn.gov · Full Tennessee rule →

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