Get Al A-1 2020-2026

The AL A-1 form, also known as the Employer’s Quarterly Return of Income Tax Withheld, is essential for employers in Alabama to report income taxes withheld from employees. This guide provides step-by-step instructions on how to accurately complete the form online, ensuring you meet your filing requirements.

Follow the steps to complete the AL A-1 form online.

1. Click the 'Get Form' button to access the form and open it for editing.
2. Begin with Line 1. If you have stopped withholding Alabama income tax and want to close your account, mark an 'X' in the provided space to indicate this is a final return.
3. Proceed to Line 2. Here, enter the number of employees from whom you have withheld Alabama income tax during the reporting period.
4. Next, Line 3 requires you to input the total amount of Alabama income tax you have withheld over the quarter (three months).
5. On Line 4, indicate the total amount of Alabama withholding tax you remitted for the first and/or second months of the quarter.
6. For Line 5, you can claim credit for any overpayment of Alabama withholding tax for previous periods. Ensure you attach necessary documentation if a credit memorandum has not been issued.
7. Line 6 is for late filing penalties, which are calculated at 10% of the tax due (from Line 3 minus Line 4) or a minimum of $50. If both return and payment are late, sum the penalties to report as one figure.
8. In Line 7, enter the interest owed, which varies each quarter. For accurate rates, consult the Withholding Tax Section.
9. Line 8 summarizes your total. Add Lines 3, 6, and 7, then subtract Lines 4 and 5 to show the balance of tax owed.
10. On Line 9, enter the amount you are remitting with the return. If the remitted amount differs from Line 8, provide an explanation with the return. Make checks payable to the Alabama Department of Revenue and mail them to the specified address.

Complete your AL A-1 form online today to ensure timely filing and compliance.