HB98 Alabama 2021 Session

Sponsors

Session

Regular Session 2021

Title

Income tax, certain CARES Act credits and rentals under the CARES Act exempt from individual income taxation, loan forgiveness under CARES further provided for

Description

<p class="bill_description"> Under existing law, amounts received in 2020 as a result of federal tax credits or advance refunds provided under the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act, as provided in I.R.C. § 6428, are not excluded from Alabama individual income taxation</p><p class="bill_description"> Under existing law, cancellation of indebtedness income resulting from the forgiveness of small business loans forgiven under Section 1106 of the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act is not excluded from Alabama individual income taxation and may not be excluded from Alabama corporate income taxation and financial institution excise taxation</p><p class="bill_description"> Under existing law, taxable income for corporate income tax is defined as federal taxable income with certain additions and deductions</p><p class="bill_description"> Alabama's corporate income tax law automatically conforms to federal corporate income tax laws, including changes imposed by the federal Tax Cuts and Jobs Act (TCJA) and the Coronavirus Aid, Relief, and Economic Security (CARES) Act</p><p class="bill_description"> Under existing law, any amount received from the state Coronavirus Relief Fund is treated as taxable income for purposes of Alabama income and financial institution excise taxation</p><p class="bill_description"> This bill would provide for an exclusion from Alabama individual income taxation for any federal tax credits or advance refunds resulting from the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act</p><p class="bill_description"> This bill would provide an income and financial institution excise tax exemption for any amounts received from the Coronavirus Relief Fund</p><p class="bill_description"> This bill would provide for an exclusion from Alabama income taxation and financial institution excise taxation for small business loans forgiven under the Paycheck Protection Program established by the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act</p><p class="bill_entitled_an_act"> Relating to corporate income tax; to provide for an exclusion from Alabama individual income tax for federal tax credits, advance refunds, or loan forgiveness resulting from the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act; and to provide an income and financial institution excise tax exemption for any amounts received from the Coronavirus Relief Fund. </p>

Subjects

Taxation