HB48 Alabama 2014 Session

Summary

Primary Sponsor

Paul W. LeeRepresentative

Republican

Co-Sponsor

Ed Henry

Session

Regular Session 2014

Title

Adoptions, income tax credit authorized for private intrastate adoption or adoption of qualified foster child

Summary

HB48 creates a refundable $1,000 tax credit for private intrastate adoptions or adoptions of qualified foster children and provides up to $15,000 in postsecondary education assistance for certain foster care adoptees, with different effective dates.

What This Bill Does

It defines key terms such as qualified foster child and private intrastate adoption. It allows a one-time, refundable $1,000 tax credit per child for private intrastate adoptions or adoptions of a qualified foster child, claimed in the year the adoption becomes final. It also creates an education assistance program offering up to $15,000 for postsecondary education to eligible minors adopted from Alabama's foster care system (age 14 or older at adoption), usable at public Alabama colleges, universities, two-year colleges, or public trade/vocational schools, with rules to be set by DHR and the Revenue Commissioner; this education benefit becomes available starting Oct 1, 2016. The tax credit is effective for the 2014 tax year and later.

Who It Affects

• Families and individuals who complete a private intrastate adoption in Alabama (they may receive a $1,000 refundable tax credit per adopted child).
• Minors adopted from Alabama's foster care system who are at least 14 years old at the time of adoption (they may receive up to $15,000 in postsecondary education assistance for use at public Alabama higher education institutions through age 26).
• Alabama Department of Human Resources (DHR) and the Commissioner of Revenue (they will administer and regulate the new credits and education assistance).

Key Provisions

• Section 1 defines terms: Qualified Foster Child, Private Intrastate Adoption, and Commissioner.
• Section 2 provides a one-time, refundable $1,000 tax credit per child for private intrastate adoptions or adoptions of a qualified foster child, claimed in the year the adoption becomes final.
• Section 3 creates a postsecondary education assistance of up to $15,000 for minors adopted from Alabama's foster care system who are at least 14 at adoption; usable at Alabama public higher education institutions, two-year colleges, or public trade/vocational schools; eligibility rules to be established; effective October 1, 2016.
• Section 4 authorizes rules and regulations to implement Section 3.
• Section 5 makes the tax credit effective January 1, 2014 for the 2014 tax year and onward.
• Section 6 states the act becomes law after governor approval, except Section 3’s education assistance which becomes effective October 1, 2016.

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