Alabama Exempts Income Earned by Certain Nonresidents

June 2, 2025, 5:58 PM UTC

The Alabama Governor signed a law amending the state income tax code, to exempt certain individuals from state income tax. The law exempts income earned by certain nonresident individuals working in Alabama fewer than 30 days per year, with conditions. The new law takes effect Oct. 1, and applies to tax years beginning on or after Jan. 1, 2026. [H.B. 379, enacted 05/14/25]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.

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