Side-by-side comparison of income tax, property tax, sales tax, capital gains, and retirement treatment between Iowa and Alabama for tax year 2026. Use the calculator below to estimate how much you would save (or pay) after relocating.
| Tax | Iowa | Alabama |
|---|---|---|
| State income tax (effective) | 4.38% | 4.50% |
| Long-term capital gains | 4.38% | 5.00% |
| Property tax (effective) | 1.57% | 0.40% |
| Combined sales tax | 6.94% | 9.25% |
| Retirement income | ss-exempt | ss-exempt |
| Income system | flat | progressive |
Iowa total tax
$19,702
Alabama total tax
$19,846
Iowa state tax
$4,332
Alabama state tax
$4,476
Difference
+$144
Alabama costs more
As % of income
0.12%
Federal tax is identical in both columns and excluded from the difference. Numbers use 2026 IRS brackets, state effective rates, and the 3.8% NIIT where applicable.
Moving from Iowa to Alabama would cost an extra $144 per year on this profile.
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