By Leada Gore
Starting Jan. 1, 2022, Alabamians who install a storm shelter may be eligible for a tax credit of up to $3,000.
Under a bill sponsored by Rep. Joe Lovvorn, R-Auburn, eligible taxpayers can receive reimbursement for the cost of construction, acquisition or installation of a Federal Emergency Management Agency-approved storm shelter at their primary residence in the state. The shelter must be capable of withstanding an EF-5 tornado.
The tax credit is equal to $3,000 or 50% of the total cost of construction, whichever is less.
The state has $2 million annually set aside for the program, which will continue through 2025. Tax credits are available on a first-come, first-serve basis until the annual cap is met.
Alabama Emergency Management Agency, which will issue the credit certificate to qualified taxpayers, is in the process of creating a website where documentation can be submitted.
For more information on the tax credit, contact the Alabama Department of Revenue Individual Income Tax at 334-242-1170 Option #1.