The bill amends the Arkansas state income tax laws to exempt certain gains from gross income. Specifically, it introduces a new provision that allows taxpayers to exclude gains resulting from the acquisition of real property by entities with the power of eminent domain, either under the right of eminent domain or the threat of condemnation. This change is intended to provide financial relief to individuals affected by such property acquisitions.

Additionally, the bill specifies that this exemption will be effective for tax years beginning on or after January 1, 2023. This legislative change aims to clarify the treatment of gains from property acquisitions under eminent domain, ensuring that taxpayers are not penalized for receiving compensation in these circumstances.

Statutes affected:
Old version SB80 V2 - 3-14-2023 09:18 AM: 26-51-404(b)
SB 80: 26-51-404(b)