Alabama Taxpayers Contributing To Get Tax Credits
Nearly 600 Alabama businesses and individuals are getting state tax credits by contributing to private school scholarship programs.
The tax credits were included in the Alabama Accountability Act that the Legislature passed in February. State Revenue Department spokeswoman Carla Snellgrove says that 582 donors have given $19.5 million to organizations set up under the new law to provide scholarships to students who move from failing public schools to participating private schools.
The individuals and businesses receive a dollar-for-dollar state income tax credit for their donations up to a limit. The Accountability Act sets a $25 million annual limit on the total amount of tax credits.
State education officials say 52 students used the new law to transfer to private schools for the fall term.