SB252 Alabama 2012 Session

Under existing law, an Alabama resident who incurs a capital loss is allowed to use a deduction for state income tax purposes only in the year in which the loss is incurred

Also under existing law, a net operating loss for state income tax purposes may be carried back two taxable years from the year in which the loss is incurred

This bill would allow an Alabama resident who incurs a capital loss to carry forward the loss for state income tax purposes for three years from the year in which the loss is incurred

To amend Section 40-18-15, Code of Alabama 1975, relating to income tax deductions for individuals; to allow each Alabama resident who incurs a capital loss to carry forward the loss for state income tax purposes for three years from the year in which the loss is incurred.