This credit is provided to prevent the double taxation
of income and is only available to legal residents of Alabama
filing Form 40 who have income from sources outside
of Alabama that is being taxed by Alabama and
another state (or territory of the United States) in the
same tax year. Residents of Alabama for only a part of
the tax year can claim this credit only if the returns filed
with Alabama and the other state cover the same periods.
You must complete Schedule CR and you must attach a copy of the other state's return or W-2G's if the taxing state does not allow a return to be filed for gambling winnings. You can complete Schedule CR by going through the Alabama interview process on our software.