Alabama House Bill HB165

Alabama 2022 Regular Session

• Introduced: 1/18/22
• Refer: 1/18/22

Caption

Taxation, check-off contribution to State Park Division of the Dept. of Conservation and Natural Resources, Dept. of Mental Health or the Alabama Medicaid Agency, Sec. 40-18-140 am'd.

Impact

If passed, HB165 will facilitate increased financial contributions to essential services impacting state parks, mental health initiatives, and Medicaid support. This legislative change seeks to encourage taxpayers to actively participate in funding programs that directly benefit their communities. By enabling individual contributions through tax check-offs, the bill aims to strengthen state support for these critical areas, potentially leading to improved services and more robust conservation efforts.

Summary

House Bill 165 aims to amend Section 40-18-140 of the Code of Alabama 1975 by introducing an income tax refund check-off for contributions specifically directed to the State Parks Division of the Department of Conservation and Natural Resources, the Department of Mental Health, and the Alabama Medicaid Agency. This addition allows individual Alabama taxpayers to directly support these state initiatives by designating a portion of their tax refunds to these organizations on their income tax return forms. The bill is designed to enhance funding for vital state programs and services.

Contention

While the bill generally garners support for its intent to improve funding for important state programs, there may be concerns regarding the effectiveness of relying on such contributions for essential services. Critics may argue that relying on tax check-offs for funding can create inconsistency in budgetary resources for these organizations. Furthermore, the effectiveness of encouraging taxpayer contributions through check-offs may be challenged, with some believing that more guaranteed state funding is the preferable approach to ensure stable support for state parks and mental health services.