HB346 Alabama 2017 Session

Under current law, individuals are required to file an Alabama income tax return reporting gross income and claiming allowable deductions, resulting in taxable income. Taxpayers pay income tax on taxable income using a graduated tax rate schedule

This bill would establish a simplified short form for filing individual income tax. This bill allows for an optional increased standard deduction to qualifying taxpayers to utilize a simplified short form who file as single or married filing joint filing status and meet certain income criteria. Qualifying taxpayers who choose to claim the optional increased standard deduction must voluntarily forego their federal income tax deduction, credits and exemptions that may otherwise be available. Taxpayers opting to claim the optional increased standard deduction will do so on a simplified short form, provided by the department

This bill allows for an optional increased standard deduction to qualifying individual income tax taxpayers who file as single or married filing joint filing status and meet certain income criteria; qualifying taxpayers who chose to take advantage of the optional increased standard deduction will file a simplified short form and will voluntarily forego their federal income tax deduction.