Alabama Sales Tax Calculator 2026

Birmingham 10% · Mobile 10% · Huntsville 9% · AL base 4%

Alabama has a 4% state sales tax but some of the highest combined rates in the country due to city and county additions. Birmingham, Mobile, and Montgomery all reach 10%. Alabama also taxes groceries, creating one of the highest everyday tax burdens in the US.

Calculator

City (optional — fills rate)

Sales tax rate — type any % (editable)

Change this anytime — no extra click. Verify final rates with your state or country tax authority.

Amount before tax

Educational tool only — not tax advice. Confirm rates before filing or pricing for customers.

Alabama combined rates by city — 2026 reference

Birmingham
Jefferson County · State 4% + County 1% + City 4% + Special 1%
10%
Mobile
Mobile County · State 4% + County 1% + City 5%
10%
Montgomery
Montgomery County · State 4% + County 1% + City 4% + Special 1%
10%
Huntsville
Madison County · State 4% + County 0.5% + City 4.5%
9%
Tuscaloosa
Tuscaloosa County · State 4% + County 1% + City 4% + Special 1%
10%
Hoover
Jefferson/Shelby · State 4% + County 1% + City 4%
9%
Dothan
Houston County · State 4% + County 1% + City 4.5%
9.5%
Auburn
Lee County · State 4% + County 0.5% + City 4.5%
9%
Decatur
Morgan County · State 4% + County 0.5% + City 4.5%
9%
Madison
Madison County · State 4% + County 0.5% + City 4.5%
9%

ZIP and district rules can differ. Verify on Alabama Dept. of Revenue.

State rate: 4%

Avg combined: 9.24%

Economic nexus: $250,000 in Alabama sales in the prior calendar year

Filing: Monthly or Quarterly

How Alabama Sales Tax Works

Alabama levies a 4% state sales tax. Cities and counties add aggressively on top, resulting in some of the highest combined sales tax rates in the US. Alabama is also one of the few remaining states that taxes groceries, making everyday shopping more expensive for residents.

Alabama Grocery Tax

Alabama reduced its state grocery tax from 4% to 3% in September 2023. However, local county and city taxes on groceries remain. As of 2026, Alabama is one of only a handful of states still levying any sales tax on unprepared grocery purchases.

Often taxable in Alabama

General merchandise
Electronics
Clothing
Restaurant meals
Groceries (taxed, reduced state rate)

Common exemptions

Prescription drugs
Medical equipment
Agricultural production items

Alabama sales tax — frequently asked questions

What is the Alabama sales tax rate in 2026?

Alabama's state rate is 4%, but combined with county and city taxes, major cities reach 9%–10%. Birmingham, Mobile, Montgomery, and Tuscaloosa are all at 10%.

Does Alabama tax groceries?

Yes. Alabama taxes groceries. Alabama reduced its state grocery tax from 4% to 3% in 2023, but local taxes still apply on food, making Alabama one of the highest grocery-tax states in the US.

Why is Alabama combined sales tax so high?

Alabama allows cities and counties to levy significant local sales taxes. Birmingham's 10% rate reflects 4% state, 1% county, 4% city, and 1% in special district taxes — all stacked.

Disclaimer: Rates are for informational and educational purposes and may be incomplete or outdated. Always verify with the official Alabama revenue authority or a qualified professional before filing or making business decisions.