Motion to Adopt Roll Call 509
Yes
100
Absent
3
HB162 Alabama 2022 Session
Updated Feb 26, 2026
Notable
Summary
- Primary Sponsor
Lynn GreerRepublican- Session
- Regular Session 2022
- Title
- Income tax, exemption of up to $6,000 of taxable retirement income for individuals 65 years of age or older, Sec. 40-18-19 am'd.
- Summary
HB162 would create a new state income tax exemption of up to $6,000 for taxable retirement income for Alabama residents aged 65 and older, starting with the 2023 tax year.
What This Bill DoesIt adds a $6,000 exemption for taxable retirement income to the list of exemptions in Section 40-18-19 for residents 65 and older. Nonresident exemptions are prorated based on Alabama-source income. The law takes effect July 1, 2022, but the retirement income exemption begins with tax year 2023, and the Department of Revenue may issue rules to implement the changes.
Who It Affects- Alabama resident taxpayers who are 65 years of age or older and receive retirement income (pensions, annuities, etc.): up to $6,000 of their taxable retirement income would be exempt from state income tax starting in 2023.
- Nonresident taxpayers with income from Alabama sources: exemptions (including the new retirement income exemption) are prorated based on the share of income earned in Alabama.
Key ProvisionsAI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.- Adds a new exemption: up to $6,000 of taxable retirement income exempt from Alabama state income tax for individuals age 65 and older (effective for tax years beginning January 1, 2023).
- Nonresident exemptions are prorated; the amount each nonresident can claim depends on the ratio of Alabama-sourced income to total income, applying to the listed exemptions for resident taxpayers.
- The act becomes law on the first day of the third month after the Governor signs it (July 1, 2022), with the retirement income exemption applying to 2023 and later tax years.
- The Department of Revenue may enact rules to implement and administer the exemptions.
- Subjects
- Taxation
Bill Actions
H
Delivered to Governor at 9:46 a.m. on April 7, 2022.
H
Assigned Act No. 2022-294.
H
Clerk of the House Certification
S
Signature Requested
H
Enrolled
S
Concurred in Second House Amendment
H
Greer motion to Concur In and Adopt adopted Roll Call 952
H
Concurrence Requested
S
Motion to Read a Third Time and Pass adopted Roll Call 968
S
Motion to Adopt adopted Roll Call 967
S
Finance and Taxation Education Amendment Offered
S
Third Reading Passed
S
Read for the second time and placed on the calendar 1 amendment
S
Read for the first time and referred to the Senate committee on Finance and Taxation Education
H
Engrossed
H
Motion to Read a Third Time and Pass adopted Roll Call 510
H
Motion to Adopt adopted Roll Call 509
H
Ways and Means Education first Substitute Offered
H
Third Reading Passed
H
Read for the second time and placed on the calendar with 1 substitute and
H
Read for the first time and referred to the House of Representatives committee on Ways and Means Education
Bill Text
Votes
HBIR: Greer motion to Adopt Roll Call 508
Yes
101
Absent
2
Motion to Read a Third Time and Pass Roll Call 510
Yes
100
Absent
3
SBIR: Orr motion to Adopt Roll Call 966
Yes
26
No
3
Absent
6
Motion to Read a Third Time and Pass Roll Call 968
Yes
28
Absent
7
Motion to Adopt Roll Call 967
Yes
26
No
2
Absent
7
Greer motion to Concur In and Adopt Roll Call 952
Yes
101
Absent
1
Documents
Bill Text (Enrolled)
HB162 Alabama 2022 Session - Enrolled
Bill Text (Engrossed)
HB162 Alabama 2022 Session - Engrossed
Bill Text (Introduced)
HB162 Alabama 2022 Session - Introduced
Source: Alabama Legislature