Local rates in Alabama are among the highest in the country.
$106.00 in total, of which $6.00 is sales tax.
Alabama sales tax rate
Alabama's state sales tax is 4%, and local add-ons take the combined rate as high as 12.5%. Local rates in Alabama are among the highest in the country. Of the 51 state-level rates, 4% is the 11th-lowest (tied with 4 other states); the 12.5% top combined rate is the 2nd-highest, between Louisiana (12.95%) and Missouri (12.238%).
Combined sales tax in Alabama cities
The 4 Alabama cities we list range from 9% to 10%, a local share of 5% to 6%.
Combined rates as published by the Alabama Department of Revenue
City
Combined rate
Local share
Tax on $100
Birmingham
10%
6%
$10.00
Mobile
10%
6%
$10.00
Montgomery
10%
6%
$10.00
Huntsville
9%
5%
$9.00
Sales tax on a purchase in Alabama
Backward from a receipt: a $50.00 total at 10% is $45.45 of goods and $4.55 of tax.
Tax owed at Alabama rates
Price
State only (4%)
Median listed city (10%)
Highest (12.5%)
$25.00
$1.00
$2.50
$3.13
$100.00
$4.00
$10.00
$12.50
$1,000.00
$40.00
$100.00
$125.00
$2,500.00
$100.00
$250.00
$312.50
Groceries in Alabama
Alabama cut its state grocery rate from 3% to 2% on 1 September 2025. Local rates still apply in full, and they are among the highest in the country. A $200.00 grocery bill at the 10% median city rate carries $16.00 (8%), against $20.00 on other goods.
Alabama is one of 9 states where groceries are taxed statewide in 2026.
Tax on $200.00 of groceries and of other goods in Alabama
4% state, up to 12.5% with local taxes. The middle of the 4 Alabama cities we list is 10%.
What is the highest sales tax rate in Alabama?
12.5% combined. Among listed cities the highest is Birmingham at 10%.
Are groceries taxed in Alabama?
Alabama cut its state grocery rate from 3% to 2% on 1 September 2025. Local rates still apply in full, and they are among the highest in the country. A $200.00 grocery bill at the 10% median city rate carries $16.00 (8%), against $20.00 on other goods.
How much is the sales tax on $1,000 in Birmingham?
$100.00 at Birmingham's 10%, $1,100.00 in total; $40.00 of it is the state's.
Sources
Official documents the rates and rules on this page come from.
This is a reference calculation using common tax assumptions and is not a substitute for professional advice. We accept no liability for decisions made from it — see the terms of use for details.