Alabama Sales Tax Guide for E-commerce Sellers

Rate structure

Alabama's state rate is 4%; the combined state + local rate ranges from 4–13.5%. Sourcing: Destination.

COMPONENTRATENOTES

State rate4%My Alabama Taxes general statewide rate

Remote seller option8% SSUT8% SSUT (flat, covers state + local)

Local taxes4–13.5%General state sales tax 4% + city and county rates (combined up to 13.5%). Remote sellers may instead elect the Simplified Sellers Use Tax (SSUT) program: one flat 8% rate covering state and all local taxes, one monthly return.

ReturnSimplified Sellers Use Tax ReturnSimplified Sellers Use Tax Return (SSUT, flat 8%)

Economic nexus threshold

You must register and collect once your Alabama sales reach $250,000, measured over the previous calendar year. There is no transaction-count threshold. Simplified Sellers Use Tax (SSUT) program; retail sales of TPP. Sales made through a marketplace facilitator do not count toward the remote seller's threshold — only your direct sales do.

Where you stand: SalesTax50 tests your imported sales against this exact rule and flags Alabama as Approaching or Exceeded on your Nexus page — check my nexus free →

Filing frequency

My Alabama Taxes assigns a filing frequency at registration based on expected tax liability and adjusts it over time. Frequencies used in Alabama: Monthly.

Due dates

Returns are due on the 20th of the month following the period. When the due date falls on a weekend or holiday it moves to the next business day.

Late filing: 10% of tax due or $50, whichever is greater, plus interest.

Marketplace facilitator rules

Since January 2019, marketplace facilitators (Amazon, eBay, Walmart, TikTok Shop) collect and remit Alabama tax on your marketplace sales. How Alabama treats them:

Who collects?Facilitatoron marketplace orders; you collect on Shopify / your own site.

Count toward nexus?Noonly your direct sales are tested against the remote-seller threshold.

Do you still file?YesYes — a registered seller still files, even for periods where all sales were through marketplaces (a zero or marketplace-only return).

How reported?Not reportedNot included on the SSUT return — the facilitator remits SSUT on marketplace sales.

Direct salesYou collectShopify, your own site, invoices — you collect and remit on your return.

Marketplace treatment changes state by state and year by year — SalesTax50 separates marketplace and direct sales automatically, but confirm with Alabama Dept. of Revenue when in doubt.

Filing portal & AutoFile

Alabama returns are filed through myalabamataxes.alabama.gov/_. Login verification: May require verification. SalesTax50 AutoFile prepares the Simplified Sellers Use Tax Return from your imported sales — you review and approve every return before it is submitted.

FAQ

Do I need a Alabama permit if I only sell on Amazon?

If you exceed the $250,000 threshold with your direct (non-marketplace) sales or have physical presence (including inventory in Alabama warehouses), yes — you must register even though Amazon collects for you.

What if I sell on Shopify and TikTok Shop?

TikTok Shop collects as a marketplace facilitator; Shopify does not. You collect on Shopify orders and report both streams on your My Alabama Taxes return — SalesTax50 separates them automatically.

Does SalesTax50 file Alabama returns automatically?

Yes — AutoFile prepares your Simplified Sellers Use Tax Return from imported sales; you approve every return before it is submitted, and a $99 one-time state setup configures your existing Alabama permit.

Should I use SSUT?

Most remote sellers elect the Simplified Sellers Use Tax program: one 8% rate statewide, one monthly return, and no local registrations. AutoFile files SSUT.

This guide is general information for e-commerce sellers, not tax advice. Rates, thresholds and due dates change — confirm with Alabama Dept. of Revenue before relying on them.

Let AutoFile handle your Alabama returns

Prepared and checked for you — you approve before anything is filed.

Start free nexus check