HB320 Alabama 2018 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Rod Scott
Democrat
Session: Regular Session 2018
Title: Income tax, filing requirement threshold to be sum of standard deduction and personal exemptions, Sec. 40-18-27 am'd.
Summary: HB 320 changes the income tax filing threshold to be the sum of the standard deduction and personal exemptions for each filing status.
What This Bill Does
The bill amends the filing threshold in Section 40-18-27 so a taxpayer must file a return only if their AGI before deductions exceeds the sum of the standard deduction and personal exemptions for their filing status. This replaces the previous fixed dollar thresholds with thresholds that vary by filing status. The change could raise or lower the threshold depending on current deduction and exemption amounts and applies to tax years after December 31, 2017.

Who It Affects
All Alabama taxpayers subject to income tax; the threshold to file now depends on their filing status (single, married filing jointly, etc.).
Single filers and those married but filing separately will have a threshold equal to their status's standard deduction plus personal exemptions.
Married couples filing jointly will have a threshold equal to the joint standard deduction plus joint personal exemptions.
Nonresidents must file a complete return to claim deductions, and extensions/penalties rules remain in place; if a taxpayer cannot file, an authorized agent or guardian can file on their behalf.

Key Provisions
Threshold to file is set to the sum of the allowable standard deduction and personal exemption for the taxpayer's filing status (replacing fixed dollar amounts).
Threshold applies for each filing status (single, married filing jointly, etc.) based on the respective standard deduction and personal exemption amounts.
Effective for tax years beginning after December 31, 2017.
Keeps existing rules for nonresidents, extensions, and penalties unless otherwise stated.

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