All income is to be reported on your Alabama return and is subject to Alabama tax unless it is specifically exempt by state law.
Examples of income you must report include:
- Wages
- Dividends
- Interest
- Business income
- Alimony
- Life Insurance
- Pensions
Income that is not reported to Alabama includes:
- Retirement Benefits
For a complete list of income that needs to be reported and income that is excluded, please refer to the Alabama instructions.