Passed 2013 • Launched 2013 • Individual Tax Credit
Alabama provides a tax credit or rebate to parents who transfer their children enrolled in or assigned to a failing public school to a non-failing public or private school of their choice.
Latest Stats (2013)
- Taxpayers participating: n/a
- Average tax credit / rebate value: n/a
Tax Credit Value
Parents receive a tax credit worth the lesser of 1) 80 percent of the average annual state cost of attendance for a K-12 public school student during the applicable tax year or 2) their students’ actual cost of attending school. If the taxes owed by the parents are less than the total credit allowed, they may receive a rebate equal to the balance of the unused credit.
Parents who transfer their child from a failing public school to a non-failing public or accredited private school are eligible. Parents with a child who is starting school for the first time in Alabama and zoned to attend a failing public school are also eligible. Alabama defines a public school as failing if it meets one or more of the following requirements: the school is labeled as persistently low-performing by the Alabama State Department of Education; the school is designated as a failing school by the state Superintendent of Education; the school does not exclusively serve a special population of students; or the school has been listed three or more times during the most recent six years in the lowest 6 percent of public K-12 schools on the state standardized assessment in reading and math.
Rules & Regulations
- Income Limit: None
- Prior Year Public School Requirement: Families must show a cost of transfer from a failing public school to a non-failing public school or a private school. Families may continue to receive the tax credit or rebate until the student reaches the highest grade level of the failing public school they are zoned to attend.
- Geographic Limit: Statewide
- Enrollment Cap: None
- Individual Credit / Rebate Cap: $3,500
- Testing Mandates: None
Stephanie Linn | firstname.lastname@example.org