Gov. Ivey signs child tax credit bill, providing relief to Alabama families

MONTGOMERY, Ala. (WSFA) - Gov. Kay Ivey has signed House Bill 231, the child tax credit bill, into law.

The bill, sponsored by Rep. Jim Carns, R-HD 48 and Sen. Dan Roberts, R-SD 15, allows families who received the child tax credit to save money on their taxes this year. The amount will be based on the number of children in the household.

“If you have two children, this is probably right around $200 that they will not pay,” explained Sen. Dan Roberts, sponsor of SB152, the Senate version. “They’ll get a tax credit on it and save them $200 in taxes.”

I’m proud to sign HB231 into law so that money will return directly into the hands of hardworking Alabamians. I commend the AL Legislature for their work on this & look forward to this benefitting AL families this tax season. @AlabamaRevenue #alpolitics https://t.co/e3gfb2nA0B
— Governor Kay Ivey (@GovernorKayIvey) February 23, 2022

Specifically, the bill allows individual taxpayers to calculate their federal income tax deduction without consideration of certain items allowed under the American Rescue Plan Act.

If you have already filed your taxes, legislators say you’ll need to make an amendment to what you’ve filed.

The governor’s office said the bill is projected to save Alabamians tens of millions of dollars.