Live in Florida, work in Alabama
Your home state has no income tax, so there is no credit to offset the work state's tax. You pay the work state as a nonresident.
Official tax guidance for both states
Check withholding, filing requirements and current forms with each state's tax agency.
- Florida: Department of Revenue - Businesses (opens in new tab)
- Alabama: Alabama Department of Revenue - Businesses (opens in new tab)
Agency directory checked 2026-10-01 against the IRS state-government directory. This verifies the agency links, not an individual tax result. Use forms for the year you are filing.
Before you use this estimate
This model assumes a full-year resident of Florida, ordinary employee wages and all workdays physically in Alabama. Check exemption eligibility before treating a work-state amount of $0 as your own result. Withholding is a prepayment, not final tax liability. Other income, a move during the year, remote work and separate local taxes or credits can change the result.
State income tax: $4,102 a year
Modeled annual state income tax for living in Florida and working in Alabama: about $4,102 on $100,000 of wages, $4,102 more than if you worked in Florida.
Your home state has no income tax, so there is no credit to offset the work state's tax. You pay the work state as a nonresident.
Tax guide and official sources: live in Florida, work in Alabama
Official agency starting points: Florida tax agency (opens in new tab) · Alabama tax agency (opens in new tab). These directory links identify the selected states' agencies, not your filing obligations. Check their individual-tax guidance and forms for the year you are filing.
This is the usual filing pattern, not a determination that you must file. Filing thresholds, age or dependent status, other income and withholding refunds can change which returns you need.
How this $100,000 estimate adds up
These steps follow the selected home, work state, salary and filing status. They reconcile the model's annual liability, not the amounts withheld from your paycheck.
| Step | Alabama work state | Florida home state |
|---|---|---|
| Tax before the modeled other-state credit | $4,102 | $0 |
| Modeled other-state credit subtracted | $0 | $0 |
| Tax after that credit | $4,102 | $0 |
Total: $4,102 + $0 = $4,102 a year. Amounts are rounded for display. Work-state wage exemptions, when applicable, are already reflected in the first row; they are not an other-state credit.
No other-state credit is subtracted in this selected scenario. Included county components stay in these amounts; excluded local taxes and credits stay excluded. Federal income tax, payroll programs and refund eligibility are outside this reconciliation.
State tax at different salaries
| Wages | To AL | To FL | Modeled total | If you worked in FL |
|---|---|---|---|---|
| $50,000 | $2,069 | $0 | $2,069 | $0 |
| $75,000 | $3,127 | $0 | $3,127 | $0 |
| $100,000 | $4,102 | $0 | $4,102 | $0 |
| $150,000 | $6,023 | $0 | $6,023 | $0 |
| $250,000 | $9,695 | $0 | $9,695 | $0 |
Single filer, all wages earned in Alabama, 2026 state tax rules, standard deductions. Local income taxes not included.
From paycheck withholding to your returns
- Withholding: Arrange Alabama withholding on wages for services performed in Alabama. Florida has no individual wage income tax; the Alabama withholding still must be reconciled against annual liability.
- Returns: File Alabama Form 40NR for qualifying Alabama-source income. There is no Florida individual income-tax return for these wages.
- Credit or refund: No Florida resident wage-tax credit is needed. Alabama’s federal-income-tax deduction is part of the modeled state calculation; it is not a refund of federal or payroll tax.
Worked example: $100,000 of wages
Single filer, full-year resident of Florida, all work performed in Alabama, no other income, standard deductions and modeled personal exemptions. Florida has no individual wage income tax, so there is no resident credit to claim. Pay a modeled $4,102 to Alabama and $0 to Florida, total $4,102.
Annual liability, not paycheck withholding or a refund estimate. Federal tax, payroll programs, other local taxes, special credits and part-year residency are excluded. Local income taxes not included.
Remote-work and local exceptions
The example assigns all wages to Alabama. If you also earn income outside Alabama, nonresident allocation and deduction proration can change the result. Municipal occupational taxes are separate and excluded; keep actual work-location records.
Official forms and instructions
- Alabama nonresident filing and Form 40NR (opens in new tab)
- Alabama nonresident wage reporting FAQ (opens in new tab)
- Alabama current forms and instructions (opens in new tab)
Source audit 2026-10-01. Use the return and instructions for the year you are filing; a current-forms link may still show a prior-year return. Official sources checked; not independently reviewed.
What to do
- Keep a record of the days you work in each state, especially if you sometimes work from home.
Local income taxes
- Alabama: Several cities levy occupational taxes on wages earned in the city (e.g., Birmingham 1%, Bessemer, Gadsden, Opelika), applying to nonresident commuters (e.g., from GA/TN/MS).
Frequently asked questions
Do I pay Alabama income tax if I live in Florida?
Yes. Alabama taxes wages earned there by nonresidents. On $100,000 that's about $4,102.
Do I have to file taxes in both Florida and Alabama?
File Alabama Form 40NR for qualifying Alabama-source income. There is no Florida individual income-tax return for these wages.
Will I be taxed twice?
No. Florida has no income tax, so there is no resident state income tax on these wages; you pay Alabama's nonresident tax, about $4,102 on $100,000. Local taxes need a separate check.
Related
- Live in Alabama, work in Florida
- Moving from Florida to Alabama
- Moving from Alabama to Florida
- Live in Florida, work in Georgia
Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.