The tax levied and imposed by Section 40-18-2 shall be computed as follows:
(1) For a single person, head of family, or married persons filing separate returns:
a. Two percent of taxable income not in excess of five hundred dollars ($500).
b. Four percent of taxable income in excess of five hundred dollars ($500) and not in excess of three thousand dollars ($3,000).
c. Five percent of taxable income in excess of three thousand dollars ($3,000).
(2) For married persons filing a joint return:
a. Two percent of taxable income not in excess of one thousand dollars ($1,000).
b. Four percent of taxable income in excess of one thousand dollars ($1,000) and not in excess of six thousand dollars ($6,000).
c. Five percent of taxable income in excess of six thousand dollars ($6,000).
Structure Code of Alabama
Title 40 - Revenue and Taxation.
Article 1 - General Provisions.
Section 40-18-1 - Definitions.
Section 40-18-1.1 - Operating Rules.
Section 40-18-2 - Levied; Persons and Subjects Taxable Generally.
Section 40-18-2.1 - Income of Foreign Missionary Exempt.
Section 40-18-3 - Income of Officers or Agents of the United States, Etc.
Section 40-18-5 - Tax on Individuals.
Section 40-18-6 - Gain or Loss - Basis of Property; Adjusted Basis.
Section 40-18-6.1 - Gain or Loss — Special Rules for Capital Gains Invested in Opportunity Zones.
Section 40-18-7 - Gain or Loss - Determination of Amount.
Section 40-18-8 - Gain or Loss - Recognition.
Section 40-18-8.1 - Gain or Loss — Recognition of Gains Invested in Opportunity Zones.
Section 40-18-12 - Net Income of Individuals - Defined.
Section 40-18-13 - Computation of Income.
Section 40-18-14 - Adjusted Gross Income of Individuals.
Section 40-18-14.1 - Deferred Compensation Plans.
Section 40-18-14.2 - Adjusted Gross Income.
Section 40-18-14.3 - Gross Income - Discount and Interest.
Section 40-18-15 - Deductions for Individuals Generally.
Section 40-18-15.1 - Net Income Taxable Income Defined - Generally.
Section 40-18-15.2 - Net Operating Loss.
Section 40-18-15.3 - Deductions for Health Insurance Premiums.
Section 40-18-15.6 - Deductions for Contributions Made to Health Savings Accounts.
Section 40-18-15.7 - Optional Increased Standard Deduction for Qualified Persons.
Section 40-18-16 - Depreciation.
Section 40-18-17 - Items Not Deductible.
Section 40-18-18 - Amortization of War or Emergency Facilities.
Section 40-18-19 - Exemptions - Generally.
Section 40-18-19.1 - Exemptions for Severance, Unemployment Compensation, Etc.
Section 40-18-20 - Exemptions - Military Retirement Benefits.
Section 40-18-21.1 - Annual Report of Credits Claimed for Taxes Paid to Foreign Countries.
Section 40-18-24 - Taxation of Subchapter K Entity.
Section 40-18-24.1 - Composite Return and Payment by Nonresident Owner of Subchapter K Entity.
Section 40-18-24.2 - Taxation of Pass-Through Entities.
Section 40-18-24.4 - Alabama Electing Pass — Through Entity Tax Act.
Section 40-18-25 - Estates and Trusts.
Section 40-18-25.1 - Estates and Trusts - Exemptions.
Section 40-18-25.2 - Estates and Trusts - Deductions From Gross Income of Net Operating Loss.
Section 40-18-26 - Information From Source of Income.
Section 40-18-27 - Individual Taxpayer's Returns; Liability of Innocent Spouse.
Section 40-18-28 - Returns of Subchapter K Entities and Single Member Limited Liability Companies.
Section 40-18-29 - Fiduciary Returns.
Section 40-18-30 - Return When Accounting Period Changes.
Section 40-18-31 - Corporate Income Tax - Generally.
Section 40-18-31.2 - Factor Presence Nexus Standard for Business Activity.
Section 40-18-32 - Corporate Income Tax - Exemptions.
Section 40-18-33 - Corporate Income Tax - Taxable Income.
Section 40-18-34 - Additions Required by Corporations.
Section 40-18-35 - Deductions Allowed to Corporations.
Section 40-18-35.1 - Carry Forward of Net Operating Losses.
Section 40-18-36 - Distributions by Corporations.
Section 40-18-37 - Items Not Deductible by Corporations.
Section 40-18-38 - Additional Deductions Allowed for Corporations; Credits.
Section 40-18-39 - Corporate Returns.
Section 40-18-39.1 - Business Interest Expense Deduction Limitations.
Section 40-18-41 - Amortization of Ad Valorem Tax.
Section 40-18-42 - Time and Methods of Payment of Tax.
Section 40-18-44 - Installment Method.
Section 40-18-50 - Penalty for Failure to Make Return Within Time Specified.
Section 40-18-53 - Inspection of Returns by Federal or Foreign State Agents.
Section 40-18-54 - Supervision of Assessment and Collection.
Section 40-18-55 - Statement to Be Furnished by Taxpayer.
Section 40-18-57 - Rules to Be Promulgated by Department of Revenue.
Section 40-18-58 - Appropriation.
Section 40-18-59 - Additional Appropriations.
Section 40-18-60 - Covid-19 Recovery Capital Credit Protection Act of 2021.