Alabama guide

Alabama's county Probate Courts administer estates. Summary distribution is a particular statutory procedure, not permission to withdraw any small bank account. The state's small-estate valuation rules changed effective October 2025 and are adjusted; use the current court instructions rather than an older dollar limit.

Ask whether summary distribution is available, which property is counted, and how publication and creditor requirements apply.

Summary distribution is an order-based route for a qualifying estate of personal property, rather than a private affidavit that any beneficiary can sign. Distinguish the petition requesting that order from letters authorizing a personal representative in a regular administration. A deeded home cannot simply be included as another bank-account asset. The current small-estate amount and notice rules must be checked under the revised law, rather than taken from a pre-2025 form.

Alabama does not currently impose a state estate tax for 2026 deaths and does not currently impose a separate inheritance tax for 2026 deaths. This does not mean the inheritance or its future earnings are exempt from federal estate, income, or capital gains tax. Property and a decedent connected to another state can require another state's review. Older deaths can have different rules.

Alabama Revenue ties its former estate-tax filing requirement to the federal state-death-tax credit. Its guidance says no Alabama estate filing is required for deaths after 2004.

Legal authority, tax reporting, and investing are different tasks. In Alabama, ask the estate attorney to confirm the transfer route and notices, the CPA to review state and federal returns, and the financial advisor to discuss your own cash flow, retirement income, and risk. A simplified estate process is not a tax exemption or an investment recommendation.

The Montgomery guide identifies a local starting point. It does not establish venue for everyone in the state and does not represent an SBC office.