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AL HB73

Bill

Status

Introduced

1/12/2010

Primary Sponsor

Mike Ball

Click for details

Origin

House of Representatives

Regular Session 2010

AI Summary

  • Adds Section 40-18-180 to Alabama Code to establish a research and development income tax credit for tax years beginning after December 31, 2010.

  • Provides an Alabama credit equal to 20% of the federal research and development credit allowed under Internal Revenue Code Section 41 for qualifying research activities conducted in Alabama.

  • Phases in the credit over five adjustment years in equal installments (4%, 8%, 12%, 16%, then 20%), with each phase triggered only upon certification by the Alabama Department of Finance that Education Trust Fund revenues will grow by at least 3%.

  • Requires the Department of Finance to annually certify estimated Education Trust Fund growth to the Department of Revenue by the second legislative day of each regular session, beginning with the 2011 legislative session.

  • Takes effect for tax years beginning on or after January 1, 2011.

Legislative Description

Income tax, research and development tax credit based on federal income tax credit, Sec. 40-18-180 added

Taxation

Last Action

Read for the first time and referred to the House of Representatives committee on Education Appropriations

1/12/2010

Committee Referrals

Education Appropriations1/12/2010

Full Bill Text

No bill text available