SB9 Summary

• Amends Section 40-18-19 of the Code of Alabama 1975 to exempt health savings account contributions from state income tax.

• Allows taxpayers to exclude contributions made to health savings accounts up to the maximum annual amount permitted under 26 U.S.C. § 223 from state income taxation.

• Exemption applies to contributions made beginning January 1, 2016.

• Becomes effective on the first day of the third month following passage and approval by the Governor, or upon becoming law by other means.