Generally, all wages earned in Alabama are subject to Alabama withholding tax. However, certain classes of employment are exempt from Alabama withholding tax. Alabama taxes must be withheld from all wages of residents and of wages of nonresidents to the extent that they perform services in the state. A resident is a person who has a permanent home in Alabama and who spends at least 7 months a year in the state.
Exempt from withholding are:
• Members of the armed forces in combat zones
• Household or domestic employees
• Employees in foreign governments and international organizations
• Ministers/certain missionaries
• Full-time students holding ...