HB83 Alabama 2018 Session

Summary

Primary Sponsor

Connie C. Rowe

Republican

Session

Regular Session 2018

Title

Veterans, unemployed, tax credit created for hiring of, regardless of whether veteran was recently deployed, Sec. 40-18-320.1 added; Secs. 40-18-320, 40-18-321, 40-18-322, 40-18-324 am'd.

Summary

HB83 creates the Veterans Employment Act to give small Alabama businesses a $1,000 tax credit for hiring unemployed veterans (including combat and recently deployed) after 12 months of full-time work, with a sunset in 2023.

What This Bill Does

It renames the existing Heroes for Hire Act as the Veterans Employment Act and adds definitions for combat veterans and recently deployed unemployed veterans. It provides a new $1,000 nonrefundable tax credit for each qualifying veteran hired for a full-time position paying at least $14/hour and mainly located in Alabama, available in the year the employee completes 12 months of employment, and in addition to existing credits. Employers can claim this credit against income tax or the financial institution excise tax, but only after the veteran’s status is verified by the Alabama Department of Labor. The act also requires state agencies to promote the credit, establish verification and certification procedures, and report annual credit totals, and it sunsets on December 31, 2023 unless extended.

Who It Affects

• Small businesses in Alabama that hire qualifying unemployed, recently deployed unemployed, or combat veterans and meet wage and location requirements; they may receive a $1,000 tax credit per veteran against their income tax or financial institution excise tax in the eligible year.
• Unemployed veterans in Alabama (including combat veterans and those recently deployed) who meet discharge and unemployment criteria; their employment enables the employer to claim the credit, and their status must be verified by the Department of Labor before the credit is claimed.

Key Provisions

• Renames the current act as the Veterans Employment Act and adds new sections 40-18-320.1 and 40-18-325, plus amendments to 40-18-320, 40-18-321, 40-18-322, and 40-18-324.
• Defines Combat Veteran, Recently Deployed Unemployed Veteran, and Unemployed Veteran with specific residency, discharge, and unemployment-benefit criteria.
• Provides an additional $1,000 nonrefundable tax credit for each qualifying veteran hired for a full-time position paying at least $14/hour, with most duties in Alabama, available in the tax year after 12 months of consecutive employment, applicable to income tax and financial institution excise tax.
• Requires employer credits to be in addition to existing credits and limits eligibility to those who meet job and wage criteria and where the veteran’s status is verified by the Department of Labor.
• Sets a sunset date of December 31, 2023 for the tax credits unless extended by future legislation; requires the Department of Revenue to report total credits claimed annually and establishes cross-agency procedures for qualification, verification, and oversight.

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

Subjects

Veterans