Who Must Pay Estimated Tax If you owe additional tax for 2025, you may have to pay esti- mated tax for 2026. You can use the following general rule as a guide during the year to see if you will have enough withholding, or if you should increase your withholding or make estimated tax payments. General Rule. In most cases, you must pay estimated tax for 2026 if both of the following apply: 1. You expect to owe at least $500 in tax for 2026, after sub- tracting your withholding and credits. 2. You expect your withholding plus your credits to be less than the smaller of: a. 90% of the tax to be shown on your 2026 tax return, or b. 100% of the tax shown on your 2025 tax return. Your 2025 tax return must cover all 12 months. Special Rule for Higher Income Taxpayers If your Alabama AGI for 2025 was more than $150,000 ($75,000 if your filing status for 2026 is Married Filing a Separate Return) substitute 110% for 100% in (2b) under General Rule, above. When and Where to File Estimated Tax Your estimated tax must be filed on or before January 15, 2027, or on such later dates as specified under “Farmers.” It should be mailed to the Alabama Department of Revenue, Individual Esti- mates, P.O. Box 327485, Montgomery, AL 36132-7485. Payment of Estimated Tax Your estimated tax may be paid in full or in equal installments on or before April 15, 2026, June 15, 2026, September 15, 2026 and January 15, 2027. If the 15th falls on a Saturday, Sunday, or State holiday, the due date will then be considered the following business day. Checks or money orders should be made payable to the Alabama Department of Revenue. Changes In Tax Even though your situation on April 15 is such that you are not required to file estimated tax at that time, your expected tax may change so that you will be required to file estimated tax later. In such case, the time for filing is as follows: June 15, if the change occurs after April 1 and before June 2; September 15, if the change occurs after June 1 and before September 2; January 15, if the change occurs after September 1. If, after you have filed a voucher, you find that your estimated tax is substantially increased or decreased as the result of a change in your tax, you should in- crease or decrease the amounts on your June 15, 2026, Septem- ber 15, 2026, January 15, 2027 vouchers. Farmers If at least 2/3 of your gross income for the taxable year is de- rived from farming, you may pay estimated tax at any time on or before January 15, 2027. If you wait until January 15, 2027, you must pay the entire balance of the estimated tax. However, if farm- ers file their tax return on or before March 1, 2027, and pay the total tax at that time, they need not file estimated tax. Fiscal Year If you file your income tax return on a fiscal year basis, you will substitute for the dates specified in the above instructions the months corresponding thereto. Penalties for Underpayment Penalties are provided for underpaying the Alabama income tax by at least $500.00. Form 40ES Instructions Instructions

1. Be sure you are using a form for the proper year. Do not use this form to file for any calendar year other than the year printed in bold type on the face of the form. Individuals who file on fiscal year basis (other than calendar year ending Dec. 31) should show beginning and ending dates of fiscal year in spaces provided on Form 40ES and each payment voucher.

2. Enter your social security number in space pro- vided. If joint voucher, enter spouseʼs number on the line after yours.

3. Enter your first name, middle initial, and last name. If joint estimated tax, show first name and middle initial of both spouses. (Example: John T. and Mary A. Doe).

4. The amount to be shown on Amount Paid With Voucher line is determined by (a) the date you meet the requirements for filing a estimated tax, (b) the amount of credit, if any, for overpayment from last year or income taxes withheld. Any overpayment credit may be applied to your ear- liest installment or divided equally among all the installments for the year. See the following schedule:

Requirements Met Required Amt. Due With After & Before Filing Date Voucher 1-1-2026 4-2-2026 4-15-2026 1/4 of line 11 4-1-2026 6-2-2026 6-15-2026 1/3 of line 11 6-1-2026 9-2-2026 9-15-2026 1/2 of line 11 9-1-2026 1-1-2027 1-15-2027 All of line 11

MAIL TO: Alabama Department of Revenue Individual Estimates P.O. Box 327485 Montgomery, AL 36132-7485