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AL SB79

Bill

Status

Introduced

1/13/2026

Primary Sponsor

Dan Roberts

Click for details

Origin

Senate

2026 Regular Session

AI Summary

  • Excludes employer contributions to Trump Accounts (education savings accounts under 26 U.S.C. § 530A) from Alabama state gross income for individual taxpayers, effective for tax years beginning January 1, 2026

  • Makes permanent the state income tax exclusion for employer payments on qualified education loans, which was previously set to expire under federal law

  • Aligns Alabama tax treatment with federal provisions in the One, Big, Beautiful Bill Act (Pub. L. 119-21) for both Trump Account contributions and student loan repayment assistance

  • Amends Section 40-18-14 of the Code of Alabama 1975 governing gross income definitions

  • Effective date: May 1, 2026

Legislative Description

Individual income taxes, to allow an exclusion from gross income for contributions to Trump Accounts and to make permanent the exclusion for amounts paid by an employer on any qualified education loan

Taxation & Revenue

Last Action

Read for the Second Time and placed on the Calendar

2/25/2026

Committee Referrals

Ways and Means Education2/12/2026
Finance and Taxation Education1/13/2026

Full Bill Text

No bill text available