Tax News

CCH (cch.taxgroup.com) reports:

Rebates or tax credits received by individuals as a result of the federal Economic Stimulus Act of 2008 (ESA) (P.L. 110-185) may be excluded from gross income for Alabama personal income tax purposes. However, for the 2008 tax year, such amounts must also be excluded in determining a taxpayer's federal income tax deduction. Any other deductions or credits enacted by the ESA do not apply to the calculation of Alabama taxable income for corporate income or personal income tax purposes. In essence, Alabama has decoupled from the 50% bonus depreciation and IRC §179 asset expense election increases enacted by the ESA.
Act 549 (H.B. 56), First Special Session, Laws 2008, effective June 9, 2008.