How do I enter my overtime hours that are exempt from Alabama state income tax?

[DawnC]

You don't need to make any special entries; just enter your W-2.   Your W-2 already reflects the change.  

For the tax year beginning on or after January 1, 2024, overtime pay received by a full-time hourly wage paid employee for hours worked above 40 in any given week are excluded from gross income and therefore exempt from Alabama state income tax.