AL HB356

Establishes the "Pregnancy Resource Act" creating a state income tax credit for individuals and businesses making voluntary cash contributions to eligible charitable organizations operating as pregnancy centers, state-licensed mobile medical clinics serving women, or residential maternity facilities.

Eligible organizations must be 501(c)(3) exempt nonprofits formed under Alabama law, maintain a primary Alabama office open minimum 20 hours per week, and provide free services to help women carry pregnancies to term while promoting parenting, adoption, or healthy childbirth.

Tax credit amount cannot exceed 50 percent of the taxpayer's total state income tax liability, with unused credits carried forward for five consecutive years; contributions cannot be deducted for state income tax purposes.

Aggregate credits allocated statewide are capped at $10 million annually, with no more than 50 percent of total credits allocated to a single eligible organization per calendar year.

Tax credit is effective January 1, 2025, through the 2029 tax year unless extended by the Legislature; bill became effective January 1, 2025.