Alabama State tax brackets in 2018

AlabamaAlabama's tax brackets haven't changed since last year. Alabama has 3 tax brackets and 3 corresponding tax rates. The lowest tax rate is 2.00% and the highest tax rate is 5.00%.

The combined federal and state marginal tax rate in the highest income range is 42.00%.

The maximum standard deductions in 2018 are $2,500 for single, $7,500 for married filing jointly, $3,750 for married filing separately and $4,700 for head of household tax filers. The amount of standard deductions are reduced by a certain amount until it reaches the minimum amount of $2,000 for single, married filing separately and head of household tax filers and $4,000 for married filing jointly tax filers.

Alabama personal exemptions are reducing the taxable income. The amount of the exemption is $1,500 for single, $3,000 for married filing jointly, $1,500 for married filing separately and $1,500 for head of household tax filers.

The Alabama Dependant Deduction is $1,000 in 2018, which is reducing the taxable income.

2018 Alabama State tax brackets and tax rates

Taxable income Tax rate
$0 - $500 2.00%
$501 - $3,000 4.00%
$3,001 - 5.00%
Taxable income Tax rate
$0 - $1,000 2.00%
$1,001 - $6,000 4.00%
$6,001 - 5.00%
Taxable income Tax rate
$0 - $500 2.00%
$501 - $3,000 4.00%
$3,001 - 5.00%
Taxable income Tax rate
$0 - $500 2.00%
$501 - $3,000 4.00%
$3,001 - 5.00%

Combined Federal & Alabama tax brackets and marginal tax rates 2018

Taxable income Federal rate State rate Combined rate
$0 - $500 10.00% 2.00% 12.00%
$501 - $3,000 10.00% 4.00% 14.00%
$3,001 - $9,525 10.00% 5.00% 15.00%
$9,526 - $38,700 12.00% 5.00% 17.00%
$38,701 - $82,500 22.00% 5.00% 27.00%
$82,501 - $157,500 24.00% 5.00% 29.00%
$157,501 - $200,000 32.00% 5.00% 37.00%
$200,001 - $500,000 35.00% 5.00% 40.00%
$500,001 - 37.00% 5.00% 42.00%
Taxable income Federal rate State rate Combined rate
$0 - $1,000 10.00% 2.00% 12.00%
$1,001 - $6,000 10.00% 4.00% 14.00%
$6,001 - $19,050 10.00% 5.00% 15.00%
$19,051 - $77,400 12.00% 5.00% 17.00%
$77,401 - $165,000 22.00% 5.00% 27.00%
$165,001 - $315,000 24.00% 5.00% 29.00%
$315,001 - $400,000 32.00% 5.00% 37.00%
$400,001 - $600,000 35.00% 5.00% 40.00%
$600,001 - 37.00% 5.00% 42.00%
Taxable income Federal rate State rate Combined rate
$0 - $500 10.00% 2.00% 12.00%
$501 - $3,000 10.00% 4.00% 14.00%
$3,001 - $9,525 10.00% 5.00% 15.00%
$9,526 - $38,700 12.00% 5.00% 17.00%
$38,701 - $82,500 22.00% 5.00% 27.00%
$82,501 - $157,500 24.00% 5.00% 29.00%
$157,501 - $200,000 32.00% 5.00% 37.00%
$200,001 - $300,000 35.00% 5.00% 40.00%
$300,001 - 37.00% 5.00% 42.00%
Taxable income Federal rate State rate Combined rate
$0 - $500 10.00% 2.00% 12.00%
$501 - $3,000 10.00% 4.00% 14.00%
$3,001 - $13,600 10.00% 5.00% 15.00%
$13,601 - $51,800 12.00% 5.00% 17.00%
$51,801 - $82,500 22.00% 5.00% 27.00%
$82,501 - $157,500 24.00% 5.00% 29.00%
$157,501 - $200,000 32.00% 5.00% 37.00%
$200,001 - $500,000 35.00% 5.00% 40.00%
$500,001 - 37.00% 5.00% 42.00%

Alabama State standard deduction 2018

Filing status Standard deduction
Married, filing jointly $7,500
Married, filing separately $3,750
Single $2,500
Head of Household $4,700
  1. The standard deduction for married taxpayers filing jointly with adjusted gross income of $20,000 or less shall be $7,500. For married taxpayers filing jointly with adjusted gross income of greater than $20,000, the standard deduction shall be reduced by $175 for each $500 of adjusted gross income in excess of $20,000. Notwithstanding the preceding sentence, the standard deduction shall not be less that $4,000 for married taxpayers filing jointly.
  2. The standard deduction for married taxpayers filing separate returns with adjusted gross income of $10,000 or less shall be $3,750. For married taxpayers filing separate returns with adjusted gross income of greater than $10,000, the standard deduction shall be reduced by $88 for each $250 of adjusted gross income in excess of $10,000. Notwithstanding the preceding sentence, the standard deduction shall not be less than $2,000 for married taxpayers filing separate returns.
  3. The standard deduction for head of family taxpayers with adjusted gross income of $20,000 or less shall be $4,700. For head of family taxpayers with adjusted gross income of greater than $20,000, the standard deduction shall be reduced by $135 for each $500 of adjusted gross income in excess of $20,000. Notwithstanding the preceding sentence, the standard deduction shall not be less than $2,000 for head of family taxpayers.
  4. The standard deduction for single taxpayers with adjusted gross income of $20,000 or less shall be $2,500. For single taxpayers with adjusted gross income of greater than $20,000, the standard deduction shall be reduced by $25 for each $500 of adjusted gross income in excess of $20,000. Notwithstanding the preceding sentence, the standard deduction shall not be less than $2,000 for single taxpayers.

Alabama State Exemption 2018

Filing statusPersonal Exemption
Single $1,500
Married, filing jointly $3,000
Married, filing separately $1,500
Head of Household $1,500

Alabama State Dependant exemption 2018

Dependant Deduction $1,000