Governor Kay Ivey signed a bill that gives middle-class Alabamians the biggest tax break they’ve seen in more than a decade, according to a release from the governor’s office.
Under the new law, married couples filing jointly, heads of households, and single filers will now be able to claim the maximum exception for state income taxes at $23,000 instead of $20,000. For married people filing separately, the threshold would be raised to $10,500 from $10,000.
“I am proud to sign SB76 giving low-income and middle-income Alabamians much-needed relief on their taxes. 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,” Governor Ivey said in the release. “I commend Senator Del Marsh for sponsoring the bill and leading the way in getting it passed through the legislature. I also congratulate Representative Reed Ingram for his great work in the House.”
Both the state Senate and House unanimously passed the bill, which was sponsored by Senator Del Marsh.