The bill amends Sections 16-6J-8 and 40-18-15.8 of the Code of Alabama 1975, focusing on the funding provisions of the CHOOSE Act credits and extending the income tax deduction for contributions to Alabama Achieving a Better Life Experience (ABLE) savings accounts. Key changes include the establishment of a CHOOSE Act Fund with a mandated appropriation of at least $100 million starting in the fiscal year ending September 30, 2026, and a provision for the Commissioner of Revenue to deposit up to $150 million annually into the fund for eligible families. The bill also stipulates that if the fund's excess accumulated money exceeds $500 million, the surplus will revert to the Education Trust Fund.

Additionally, the bill extends the sunset date for the income tax deduction for contributions to ABLE accounts to December 31, 2030, replacing the previous sunset date of December 31, 2025. The new language clarifies that the deduction cannot be claimed for tax years beginning after the extended date. The act is set to take effect on June 1, 2025.

Statutes affected:
Introduced: 40-18-15, 40-18-15
Enrolled: 16-6J-8, 40-18-15