HB602 Alabama 2011 Session

Summary

Primary Sponsor

Johnny Mack Morrow

Democrat

Co-Sponsors

Mike HillMac McCutcheonJack Williams

Session

Regular Session 2011

Title

Homeowners, certain who retrofit property to be more resistent to damages from storms, hurricanes, tornadoes, and windstorms, income tax credit authorized

Summary

HB602 creates a state income tax credit for homeowners who retrofit their homes to resist hurricane, tornado, and windstorm damage, with different rules based on location and disaster status.

What This Bill Does

It lets individual taxpayers claim a credit against personal income tax for costs to retrofit their primary residence to resist hurricane, rising floodwater, or other windstorm damage, as long as the costs are for fortification measures and not ordinary repairs. The credit is capped at the lesser of 25% of eligible costs or $1,500 for general and inland conditions, while disaster-area provisions allow up to 50% of costs or $3,000 and can apply for up to three years after the area is designated. If grant funds are used for qualifying items, those amounts aren’t eligible unless the grants are included in the taxpayer’s income. The credit applies to tax years beginning in 2009 and the act takes effect immediately after the governor signs it.

Who It Affects

• Homeowners who retrofit their primary residence in Alabama to resist windstorm or hurricane damage under the general provision (Section 1).
• Homeowners in inland counties not bordering the Gulf of Mexico or Mobile Bay who retrofit their home to resist windstorm damage under Section 2.
• Homeowners in areas designated as disaster areas due to hurricanes, tornadoes, or other windstorms who retrofit their home within the eligible period under Section 3.

Key Provisions

• General and inland-county credits: up to 25% of eligible retrofit costs or a maximum of $1,500 per tax year.
• Disaster-area credits: up to 50% of eligible retrofit costs or a maximum of $3,000 per tax year, available for up to three years after disaster designation ends.
• Eligible costs must be for fortification measures defined in the bill (not ordinary repairs) and must meet specified standards (e.g., IBHS Fortified, ICC 600, or board-approved codes).
• Grant funds: costs paid with grants are ineligible unless the grants are included in the taxpayer’s income.
• Timing and effectiveness: credits apply to tax years beginning in 2009, and the act becomes effective immediately after the governor signs it.

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

Subjects

Taxation