HB384 Summary

• Allows individuals and businesses to claim a state income tax credit equal to 50 percent of cash contributions made to the Department of Postsecondary Education for Career-Technical Dual Enrollment Program expenses, effective for tax years beginning January 1, 2015.

• Tax credit cannot exceed 50 percent of a taxpayer's total Alabama income tax liability or $500,000 per tax year, with cumulative statewide credits capped at $5,000,000 annually.

• Taxpayers may carry forward unused tax credits for up to three years and must provide receipts issued by the Department of Postsecondary Education to claim the credit.

• Department of Postsecondary Education may allocate up to $200,000 annually from received funds for administrative costs and may allow taxpayers to direct up to 80 percent of their contribution to specific career technical programs at Alabama Community College System institutions.

• Commissioner of Revenue must annually report total credits claimed and authorized, and Department of Postsecondary Education must include expenditure data in quarterly reports to legislative finance committees.