HB296 Alabama 2021 Session
In Committee
Bill Summary
Sponsors
Session
Regular Session 2021
Title
Deferred compensation plans, portion of income exempt from income tax, Sec. 40-18-19 am'd.
Description
Currently, distributions from defined contribution deferred compensation plans are taxable as income
This bill would provide that 70 percent of those distributions, up to $30,000, is exempt from income tax for individuals who are 65 years of age or older. This exemption will be phased in over a 10-year period
To amend Section 40-18-19, Code of Alabama 1975, relating to exemptions from state income taxation; to provide that 70 percent of the distribution from a defined contribution deferred compensation plan, up to $30,000, is exempt from state income tax for individuals who are 65 years of age or older; and to phase in the exemption over a 10-year period.
Subjects
Taxation
Bill Actions
| Action Date | Chamber | Action |
|---|---|---|
| February 3, 2021 | H | Read for the first time and referred to the House of Representatives committee on Ways and Means Education |
Bill Calendar
| Type | Date | Location | Description |
|---|---|---|---|
| Hearing | May 4, 2021 | Room 200 at 12:00 | House W&ME Hearing |
Bill Text
Bill Documents
| Type | Link |
|---|---|
| Bill Text | HB296 Alabama 2021 Session - Introduced |
| Fiscal Note | Fiscal Note - HB296 for Ways and Means Education |