The Alabama Senate approved an income tax cut on Thursday that will save families an average of $21 each year.
Senators voted 28-0 for the bill to allow more taxpayers to take the maximum standard deduction.
The bill is part of the Alabama Senate Republican Caucus “Fighting for Alabama” agenda, which was unveiled at a press conference earlier this month.
“This is not a tax break for the rich,” said Anniston-Republican and Senate President Pro Tem Del Marsh at the press conference. “It’s a tax break for working class Alabamians.”
According to the Associated Press, SB76 “would increase the adjusted gross income level where jointly filing married taxpayers qualify for the full $7,500 standard deduction from $20,000 to $23,000. The deduction would be lowered as incomes rise. There would be similar changes for single people.”
If signed into law, would be the largest tax cut for Alabamians since 2006.
“It is a testament to the Republican Legislature that through smart, conservative management we have been able to guide the state through tough financial times and are now in a place where we can bring tax cuts to the hard-working people of Alabama” said Marsh. “Before the 2017 session started, I began looking at responsible ways to give people a tax cut and I am pleased that we found a way to provide this much deserved break for the people. I will fight for this reasonable tax cut until it is passed by both chambers and is signed by the Governor.”
The bill now moves to the state House of Representatives for consideration.