HB1 Alabama 2010 1st Special Session

Summary

Primary Sponsor

Barry Mask

Republican

Session

First Special Session 2010

Title

Elections, campaign contributions limited, corporations and political action committees, contributions prohibited for certain period prior to election, candidates contributions limited, PAC to PAC transfers prohibited, threshold for itemizing contributions raised, new reporting date, Political Campaign Contribution Reform Act, Secs. 17-5-3, 17-5-8 am'd.

Summary

HB1 would repeal Amendment 225, limit the state income tax deduction for federal taxes for individuals, and exempt food from state sales tax.

What This Bill Does

If enacted, the bill repeals Amendment 225 to the Alabama Constitution. It creates a new rule allowing a deduction for federal income taxes paid or accrued on Alabama individual income tax returns, but with income-based limits that reduce the deduction as income rises. It also moves to exempt the sale of food from state sales tax starting January 1, 2011, while local governments would still collect their portion of sales tax on food; candy and soft drinks are excluded, and the definition of 'food' can be updated by the Legislature if federal rules change.

Who It Affects

• Individual Alabama taxpayers who itemize or claim deductions on their state income tax, because the amount they can deduct for federal taxes will depend on their adjusted gross income.
• Residents who buy food in Alabama, because state sales tax on food would be eliminated starting in 2011 (with local taxes remaining), and the bill provides specific definitions and exclusions for what counts as food.

Key Provisions

• Repeals Amendment 225 of the Alabama Constitution (now Section 211.04).
• For tax years after 2010, allows a deduction for federal income taxes paid or accrued on Alabama individual income tax returns with income-based limits: full deduction for lower incomes and phased reductions as income rises (specific thresholds and percentages described).
• For married filers with higher income, reduces the deduction by 1% of federal taxes for each specified amount over the threshold ($1,500 per $1,500 of excess AGI for single/HOH; $3,000 per $3,000 of excess AGI for joint).
• Beginning January 1, 2011, makes the sale of food exempt from state sales tax; local governments continue to levy their portion at the same rate; defines 'food' using the federal Food Stamp Act definition, with exclusions for candy and soft drinks and detailed definitions for those terms.
• If the federal definition of 'food' changes or ceases to exist, the Legislature would define 'food' by general law.
• Requires voter approval by a majority of qualified electors in accordance with Alabama Constitution election provisions.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Elections