AL HB163

Decouples Alabama from the Tax Cuts and Jobs Act (TCJA) amendment to 26 U.S.C. § 174 regarding research and experimental expenditures, effective for tax years beginning January 1, 2024.

Allows taxpayers to either currently deduct research and experimental expenditures or treat them as deferred expenses under the pre-2022 version of 26 U.S.C. § 174.

Applies to Alabama income tax purposes under Chapter 16 and Chapter 18 of Title 40, Code of Alabama 1975.

Authorizes the Department of Revenue to adopt rules for implementation and administration of the act.

Becomes effective immediately upon passage.