Earned Income Tax Credit (EITC)

Alabama does not currently offer a state-level EITC.

Notes:

• In 2023, Gov. Kay Ivey passed a one-time tax rebate as part of the state budget. The tax rebate provides individuals with $150 and $300 to couples who file jointly.
• In 2015, legislators introduced a bill that would have created a state EITC at 10% of the federal level but the measure failed to pass a committee vote.¹

Child Tax Credit (CTC)

Alabama does not currently offer a state-level CTC.

Latest Legislative Actions: Gov. Kay Ivey signed House Bill 231 into law which allowed families who received the federal CTC to save money on their taxes for 2022.

Child and Dependent Care Tax Credit (CDCTC)

Alabama does not currently offer a state-level CDCTC.