These States Don’t Tax Your Unemployment Benefits!

Photo by Allard One from Shutterstock

Alabama

Luckily, the Yellowhammer State doesn’t tax your unemployment benefits. In fact, the unemployment benefits you get due to the CARES Act and its extensions are all exempt from any U.S. state, county, as well as municipal income tax for both 2020 and 2021 tax years.

Additionally, the first $50,000 you get from an employer received as severance pay are not taxed either. When it comes to Alabama’s income tax ranges, the lowest rate is 2 percent on $500 of taxable income for single filers and $1,000 for married joint filers.

The highest rate is 5 percent, applied on more than $6,000 of taxable income for those who are married and file jointly and more than $3,000 for other filers.

PREV1 2 34 ... 12NEXT

Leave a Comment

Your email address will not be published. Required fields are marked *

10 Things Your Boss CAN’T Legally Do To You

Here are some legal aspects which refer to what your boss isn’t allowed to do to you: 1. During the hiring process, they are not allowed to ask you prohibited questions They can’t let factors influence the hiring process and

7 Most Murderous Children

We live in a world surrounded by shocking and evil things. We expect the worst from humans, horrific and truly heinous crimes, however, sometimes these come from the ones that we least expect, children. A rocky situation at home, bad

From Our Network: