HB211 Alabama 2021 Session

Sponsors

Session

Regular Session 2021

Title

Covid-19 Recovery Capital Credit Protection Act of 2021, created, employment and wage requirements for qualifying projects extended, compensation amounts for exemption purposes increased, Sec. 40-18-19.1 am'd.

Description

<p class="bill_description"> Under the capital credit program, an annual credit of a percentage of the capital costs of a qualifying project can be applied to an Alabama income tax or financial institution excise tax liability of an investing company. A qualifying project must meet specific employment and wage requirements after the project is placed into service for the capital credit to be available</p><p class="bill_description"> This bill establishes the COVID-19 Recovery Capital Credit Protection Act of 2021. The bill provides an extension to the employment and wage requirements for a qualifying project placed into service during 2019, 2020, and 2021</p><p class="bill_description"> The bill provides that the failure to meet the annual employment and wage requirements during the 2020 and 2021 tax years will not be considered in determining whether a project will be disqualified from the program. The bill provides that forfeiture penalties will not apply for qualifying projects failing to meet those requirements</p><p class="bill_description"> Under current law, an amount up to twenty-five thousand dollars received as severance, unemployment compensation or termination pay, or as income from a supplemental income plan, by an employee who is terminated, laid-off, fired, or displaced from his or her employment, is exempt from income tax</p><p class="bill_description"> This bill provides an increase in the exemption amount received as severance, unemployment compensation or termination pay, or as income from a supplemental income plan for tax years beginning after December 31, 2019</p><p class="bill_entitled_an_act"> To establish the COVID-19 Recovery Capital Credit Protection Act of 2021; to amend Section 40-18-19.1, Code of Alabama 1975; to increase the amount of various types of compensation that may be exempted; and to provide an extension to the employment and wage requirements of the capital credit program and associated penalties. </p>

Subjects

Revenue Department