HB236 Summary

• Extends the existing $5,000 state income tax credit for rural physicians to certified registered nurse practitioners and certified registered nurse anesthetists beginning with the 2019 tax year.

• Requires qualifying nurses to be licensed in Alabama, practice and reside in a small or rural community (fewer than 25,000 residents with a hospital emergency room), and work an annual average of at least 20 hours per week.

• Allows the tax credit to be claimed for up to 10 consecutive tax years, compared to 5 years for physicians.

• Prohibits the credit for nurses already practicing in rural communities as of the effective date and requires those with previous rural experience to practice in urban or large communities for at least 3 years before becoming eligible again.

• Directs the Department of Revenue to adopt rules and regulations necessary to implement and administer the expanded tax credit program.