From The Trussville Tribune staff reports
MONTGOMERY — Yesterday, Alabama Governor Kay Ivey signed a tax cut bill that was described as the “largest tax break in more than a decade to middle-class Alabamians.” The bill, SB 76, was sponsored by Senator Del Marsh of the 12th district.
“I am proud to sign SB76 giving low-income and middle-income Alabamians much needed relief on their taxes,” Ivey said in a statement. “The economy in our state is booming and this tax break reflects that. Every dollar spent by the government belongs to the people and I am pleased to be able to give some of that money back.”
The bill raises the threshold for “claiming the maximum exception for state income taxes.”
The threshold for married couples filing jointly, household heads and single filers will be raised from $20,000 to $23,000. For married individuals filing separately, the threshold will be rasied from $10,000 to $10,500. The bill is expected to save an estimated $40 million for taxpayers over the next ten years.
“I want to thank Governor Ivey for her signature on this important piece of legislation and to Representative Reed Ingram for his work in the House,” Marsh stated. “This is the first tax cut in Alabama since 2006 and I am proud that through smart, conservative management, the economy is doing well and the money for this middle-class tax break is available.”