Exemptions | Madison County, AL (2024)

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Exemptions | Madison County, AL? ›

If you are sixty-five years or older, you are entitled to an exemption from State property taxes. If you are sixty-five years or older or you are retired due to total and permanent disability, you may also be entitled to additional exemptions based on your income.

Owners of farmland, pastureland or timberland that is producing agricultural products, livestock or wood products for sale to the general public may apply for current use exemption. This exemption allows for property to be assessed at less than market value when used only for the purposes specified.

If you are over 65 years of age, or permanent and totally disabled (regardless of age), or blind (regardless of age), you are exempt from the state portion of property tax. County taxes may still be due.

H4: Homestead Exemption 4 is available to all taxpayers of Alabama who own and occupy single-family residences, including manufactured homes, as their primary residences, use their property for no other purposes, AND who are age 65 or over with a combined taxable income of greater than $12,000 on their most recent ...

Any homestead exemption must be requested by written application filed with the Alabama Revenue Commissioner annually by December 31. A homestead exemption only applies to a single-family residence owned and occupied as the applicant's primary residence on the first day of the tax year (October 1).

Taxpayers using the Single and Married Filing Separately filing statuses are entitled to a $1,500 personal exemption. Taxpayers using the Married Filing Jointly and Head of Family filing statuses are entitled to a $3,000 personal exemption. Part year residents are entitled to the full exemption amount.

You can claim exemption from withholding only if both the following situations apply: For the prior year, you had a right to a refund of all federal income tax withheld because you had no tax liability. For the current year, you expect a refund of all federal income tax withheld because you expect to have no liability.

Residents of this state with homesteads, who are over 65 years of age, retired due to permanent and total disability (regardless of age), or blind as defined in Section 1-1-3 (regardless of age or whether such person is retired) shall be exempt from all state levied property taxes.

H1: Homestead Exemption 1 is available to all citizens of Alabama who own and occupy single-family residences, including manufactured homes, as their primary residences and use their property for no other purposes.

What is the exemption code H3 in Alabama? ›

Exemption 3 (H3) is for persons who are totally disabled or over age 65 and taxable income (TI) less than $12,000.00 on federal tax return. This exempts all property taxes.

• Personal exemptions generally allow taxpayers to claim themselves (and possibly their spouse) • Dependency exemptions allow taxpayers to claim qualifying dependents. The deduction for personal exemptions is suspended (reduced to $0) for tax years 2018 through 2025 by the Tax Cuts and Jobs Act.

If you are filing EXEMPT status (which means that there will be nothing withheld from your paycheck, you must write the word EXEMPT on line 7. You cannot have something on line 5 and EXEMPT on line 7. If you are filing exempt status line 5 should be left blank.

Personal exemption deductions for yourself, your spouse, or your dependents, have been eliminated by the Tax Cuts and Jobs Act beginning after December 31, 2017, and before January 1, 2026.

Homestead Exemption – $16,450. Family Allowance – $16,450. Personal Property Exemption – $8,225.

Current use value – The value of eligible taxable property based on the use being made of that property on October 1 of any taxable year; provided, that no consideration shall be taken of the prospective value such property might have if it were put to some other possible use.

Sales and Use Tax Exemptions

Raw Materials: Tangible personal property used by manufacturers or compounders as an ingredient or component part of their manufacturing or compounded product are specifically exempt from sales and use tax under Alabama law (Sections 40-23-1(a)(9)b and 40-23-60(4)b).

Single. If on December 31 you were unmarried or separated from your spouse either by divorce or separate maintenance decree, then you would use the filing status of “Single” and are entitled to a $1,500 personal exemption.