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Alabama Begins Distribution of One-Time Tax Rebates Funded by Education Trust Fund Surplus

Eligible residents to receive up to $300, with payments exempt from state taxes.

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Overview

  • Alabama residents are set to receive a one-time tax rebate of up to $300, funded by a surplus in the state's Education Trust Fund.
  • The rebate will be distributed to approximately 1.9 million residents, costing the state about $393 million.
  • Eligible individual filers and heads of household will receive $150, while eligible married joint filers will receive $300.
  • Payments will be made either by direct deposit or paper check, depending on how residents received their 2021 tax refunds.
  • To qualify for the rebate, residents must have filed their 2021 income taxes by October 17, 2022. Nonresidents, trusts, estates, and those claimed as dependents are not eligible.