Does Alabama tax Social Security?
Does not tax Social Security
No. Alabama lists federal Social Security benefits as income that is exempt from Alabama income tax.
What the Alabama Department of Revenue says
We do not paraphrase the rule from memory. This is the state's own wording, copied from the page linked below it:
“Federal Social Security benefits”
Federal tax is a separate question
Even though Alabama does not tax it, the IRS can still tax part of your Social Security on your federal return. Whether it does depends on your other income. Our taxable Social Security calculator follows the IRS worksheet line by line, and this guide explains the rule.
You can ask Social Security to withhold federal tax from each payment. Withholding for Alabama state tax, if you need it, is arranged with the state, not with Social Security. State rules change with new laws, so check with the Alabama Department of Revenue before you file.
Other states where the answer is “does not tax Social Security”
Check our work
The answer above comes from this page. Follow the link and compare.
- Income Exempt from Alabama Income TaxationAlabama Department of Revenue. Read on November 12, 2026.