Bill No. HB129
Bill ID
1838963
State
AL
Title
Creating Hope and Opportunity for Our Students’ Education (CHOOSE) Act of 2024
Description
PFPS Summary: AL HB129 establishes a large-scale refundable income tax credit to be deposited in an ESA. Participating schools include both public K-12 schools and nonpublic schools, and homeschooled students can participate. Qualifying expenses include tuition and fees, textbooks, fees for after-school or summer education programs, private tutoring, instructional materials, nonpublic online learning, fees for standardized tests, and education services for students with disabilities. Beginning in 2025, the tax credit is available to families with an adjusted gross income not exceeding 300 percent of the federal poverty level, and starting in 2027 the tax credit will be available regardless of income; children who are not lawfully present in the U.S. are not eligible for the program. The annual tax credit is worth $7,000 or the actual cost of qualifying educational expenses, whichever is less. The bill also creates the fund for the tax credits and requires the Legislature to appropriate not less than $100 million beginning with the fiscal year ending September 30, 2026, continuing annuallty and increasing if 90% or more of funds were used the prior year.
Bill Type
Bill
Category
ESAs, Large Scale Individual Tax Credit, New Program, Universal Eligibility
Session
Regular Session 2024
Special Session
No Data Available
Current Status
Passed
Status Last Updated
2024-03-08
Pending Committee