HB257 Alabama 2014 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Napoleon BracyRepresentative
Democrat
Session: Regular Session 2014
Title: Income tax, married taxpayers, optional standard deduction authorized when filing separate tax returns, Sec. 40-18-15 am'd.
Summary: HB257 allows married taxpayers who file Alabama returns separately to elect an optional standard deduction, replacing many itemized deductions with a simpler deduction based on income and filing status.
What This Bill Does
The bill amends Section 40-18-15 to authorize an optional standard deduction that is 20% of adjusted gross income (AGI) or a fixed minimum amount, whichever is smaller. It creates tiered deduction tables for different filing statuses (married filing jointly, married filing separately, head of household, and single) with amounts that decrease as income rises. If one spouse on a separate return elects the option, the other spouse must also elect it unless they lived apart all year. The deduction rules also address nonresidents and specify when the deduction applies to Alabama-sourced income, and the measure becomes effective for 2014 and later tax years.

Who It Affects
Married taxpayers filing separate Alabama tax returns: can elect the optional standard deduction, which may change their tax burden based on their combined AGI and the new tables.
Other individual filers in Alabama (married filing jointly, head of household, and single): also have an optional standard deduction option under defined tables, which could replace itemized deductions for some filers.

Key Provisions
Authorizes an optional standard deduction to replace certain itemized deductions, calculated as 20% of AGI or a fixed amount, whichever is smaller.
Provides tiered tables for different filing statuses: joint, separate, head of household, and single, with reductions as AGI increases and minimums guaranteed.
If one spouse on a separate return uses the optional deduction, the other spouse must also use it unless they lived apart for the entire year.
Includes nonresident-specific rules, limiting deductions to Alabama-sourced income and adjusting how the deduction is calculated for nonresidents.
Effective for tax years beginning in 2014 and later; prevents any deduction from being claimed twice.

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