No state death tax
Alabama Estate and Inheritance Tax in 2026
No current Alabama estate or inheritance tax on a 2026 or 2027 death. Alabama's revenue department says estates of people who died after December 31, 2004 do not file an Alabama estate-tax return.
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Alabama and federal death-tax estimate
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- Total estimated death taxes
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- Alabama death tax
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- Federal estate tax
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Full federal worksheet with credits, GST and payments · What each input means
Estimate federal estate tax after preparing the estate's valuations, deductions, gifts and valid additional exclusion. Historical liabilities, property in another jurisdiction and estate income require separate review.
The primary-source rule for Alabama
Alabama ties its estate and inheritance filing requirement to the federal state death-tax credit. The revenue department says estates for deaths after December 31, 2004 do not file an Alabama estate-tax return. Its fiduciary income-tax rules are a separate program.
The state waiver and fiduciary return answer different questions
An Alabama executor who finds Form EST-1 among the department's forms should first identify why someone is requesting a waiver. A form's continued presence does not contradict the department's death-date boundary. Keep the request, death certificate and relevant asset details together rather than assuming that every estate must calculate a percentage of its value for Alabama.
The department's combined page also discusses trusts and Form 41. That is an income-tax program, with its own residency and beneficiary considerations. Interest or business income arriving during administration belongs in a separate accounting file. Do not subtract all administration cash receipts from the federal gross estate or treat the absence of Alabama transfer tax as an exemption for those receipts.
For a beneficiary receiving property connected to Kentucky, check the Kentucky relationship and property rules before promising a tax-free distribution. Alabama's filing statement concerns Alabama. When preparing the federal tool below, the estate's approved deductions and lifetime gift reconciliation are more useful than a beneficiary's expected check.
Sources reviewed October 1–2, 2026. Prepare federal inputs or compare Alabama with the other no-tax states.
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