Taxes in Huntsville, Alabama
Complete tax guide for Huntsville, AL. State income tax up to 5%, 0.41% property tax, 9% sales tax. Calculate your total tax burden.
State Income Tax
5%
Alabama
Property Tax
0.41%
Effective rate
Sales Tax
9%
Combined rate
Tax Burden
Low
Huntsville, AL Tax Overview
No local income tax; moderate sales tax burden
Population
215,006
Median Income
$60,872
Cost of Living
92.3 (100 = avg)
State Income Tax
5%
Median Home Price
$238,000
Huntsville Tax Calculator
Pre-filled with Huntsville median: $60,872
Total Tax Burden in Huntsville
$12,966
Take-Home: $47,906 · Effective Rate: 21.30%
Federal Tax
$5,266
8.65% eff.
AL State
$3,044
5.00% eff.
FICA
$4,657
7.65% eff.
Take-Home
$47,906
78.70% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $60,872.00 | $5,072.67 |
| Federal Income Tax | -$5,266.14 | -$438.84 |
| Alabama State Tax | -$3,043.60 | -$253.63 |
| Social Security (6.2%) | -$3,774.06 | -$314.51 |
| Medicare (1.45%) | -$882.64 | -$73.55 |
| Take-Home Pay | $47,905.55 | $3,992.13 |
Property Tax in Huntsville
Median Home
$238,000
Annual Tax
$976
Monthly Tax
$81
Effective Rate
0.41%
Sales Tax in Huntsville
Combined Rate
9%
State Portion
~6.5%
Local Portion
~2.5%
The combined sales tax rate in Huntsville is 9%, which is above the national average of 7.12%. On a $100 purchase, you would pay $9.00 in sales tax.
Tax Burden Comparison
| Tax Type | Huntsville | Alabama Avg | National Avg |
|---|---|---|---|
| Income Tax | 5% | 5% | 4.6% |
| Property Tax | 0.41% | ~0.41% | 1.1% |
| Sales Tax | 9% | ~9% | 7.12% |
| Overall Burden | Low | — | Moderate |
Tax Saving Tips for Huntsville Residents
- Alabama's income tax rate of 5% is competitive. You may still benefit from maximizing 401(k) contributions ($23,500 limit) to reduce your taxable income at both state and federal levels.
- Property tax in Huntsville (0.41%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- The combined sales tax rate of 9% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Alabama
Calculate Your Full Alabama Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Huntsville, AL?
Huntsville, Alabama has a state income tax rate up to 5%. The property tax rate is 0.41% and the combined sales tax rate is 9%. No local income tax; moderate sales tax burden
How much is property tax in Huntsville?
The effective property tax rate in Huntsville is 0.41%. On the median home price of $238,000, this equals approximately $976 per year or $81 per month. This is below the national average of 1.1%.
What is the sales tax rate in Huntsville?
The combined sales tax rate in Huntsville is 9%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.
How does Huntsville's tax burden compare to other cities?
Huntsville has a low overall tax burden. The effective total tax rate for a median-income household is approximately 26.8%. The combination of 5% state income tax, 0.41% property tax, and 9% sales tax determines the total burden. Cost of living index is 92.3 (100 = national average).
Are there any local taxes in Huntsville?
Huntsville does not impose a separate local or city income tax. Residents pay the state income tax of 5%, federal income tax, and FICA (Social Security and Medicare). No local income tax; moderate sales tax burden