HB558 Summary

• Removes the $7,500 annual cap on individual taxpayer contributions to scholarship granting organizations under the Alabama Accountability Act of 2013.

• Allows pass-through entities such as S corporations and limited liability companies to contribute to scholarship granting organizations, with tax credits passing through to individual owners based on their pro rata or distributive share.

• Changes the release date for unaccounted scholarship funds from September 15 to May 15 of each school year, allowing unaccounted funds to be made available to low-income students.

• Amends the reporting period for scholarship granting organizations from a calendar year to a school year for academic accountability purposes.

• Applies retroactively to tax years beginning on or after January 1, 2014.