AL HB467

Removes the June 30, 2025 sunset provision for the existing exemption of overtime compensation paid in accordance with the U.S. Fair Labor Standards Act from Alabama state income tax calculation.

Requires the Department of Revenue and Alabama Commission on the Evaluation of Services to conduct an economic impact study of the overtime compensation exemption by January 1, 2026, including estimated effects on consumer spending trends.

Requires the economic impact study to be posted publicly on the Department of Revenue's website.

Requires employers to submit monthly or quarterly data to the Department of Revenue beginning October 1, 2024, reporting total overtime compensation amounts paid and number of affected employees.

Becomes effective June 1, 2025.