SB202 Alabama 2015 Session

Summary

Primary Sponsor

Trip Pittman

Republican

Session

Regular Session 2015

Title

Tax credit, for certain voluntary assessments, Sec. 11-71-11 am'd.

Summary

SB202 changes how homeowners and businesses get a Alabama income tax credit for voluntary assessments paid to local Neighborhood Infrastructure Authorities, introducing a tiered credit schedule starting in 2015 while retaining a prior credit through 2014.

What This Bill Does

It updates the section that governs the income tax credit for voluntary assessments paid to Neighborhood Infrastructure Authorities. From 2015 onward, the credit becomes tiered: 100% of the paid amount for small assessments under $1,000; 33.33% for assessments between $1,000 and $3,000 for the year paid plus the next two years; and 10% for assessments between $3,000 and $10,000 for the year paid plus the next nine years. The bill also maintains a 10% credit up to $1,000 per year for 2012 and subsequent years, for a period of successive tax years, and sets an effective date for the act.

Who It Affects

• Homeowners who are assessed under the Neighborhood Infrastructure Authority and pay voluntary assessments, who would receive the described tax credits.
• Businesses that are assessed under the Neighborhood Infrastructure Authority and pay voluntary assessments, who would receive the described tax credits.

Key Provisions

• Section 11-71-11(a): From the 2012 tax year, eligible for a 10% income tax credit of the assessment paid, not to exceed $1,000 per tax year, for a period of successive tax years.
• Section 11-71-11(b)(1): Beginning in the 2015 tax year, 100% of the amount paid is credited if the assessment is less than $1,000, in the tax year paid.
• Section 11-71-11(b)(2): Beginning in the 2015 tax year, 33 1/3% credit for amounts greater than $1,000 but less than $3,000, in the tax year paid and each of the following two tax years.
• Section 11-71-11(b)(3): Beginning in the 2015 tax year, 10% credit for amounts greater than $3,000 but less than $10,000, in the tax year paid and each of the following nine tax years.
• Section 2: The act becomes effective on the first day of the third month following its passage and governor's approval, or when it lawfully becomes effective.

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