Alabama Governor Kay Ivey Issues COVID-19 Order Excluding Stimulus Payments from State Taxes
Alabama Governor Kay Ivey issued an executive order Friday, December 11th that gives Alabamians additional tax relief during the novel Coronavirus pandemic.
Under Ivey's new order, funds received from the federal CARES act are now exempt from taxation at the state level. These funds were already exempt from federal taxes; however, until Ivey's order, Alabamians would have owed state income taxes on stimulus payments received earlier this year.
The executive order lays out state tax exemptions for individuals and businesses alike, as over $7.2 billion dollars of federal COVID-19 relief funds were distributed within the Alabama.
Ivey's order also extends the sunset date for two job development plans, the Growing Alabama Jobs Act and the Growing Alabama tax plan.