Ala. Admin. Code r. 810-3-25-.16

Current through Register Vol. 43, No. 1, October 31, 2024

Section 810-3-25-.16 - Credit For Income Taxes Paid To Another State Or Territory By A Resident Estate Or Trust

(1) For tax years beginning after December 31, 2004, if a resident estate or trust conducts a trade or business both in Alabama and in one or more other states or territories, the resident estate or trust is entitled to a credit to be applied to the Alabama income tax for the amount of income tax actually paid to another state or territory on income earned from the conduct of the trade or business in the other states or territories.

(2) The credit for income taxes paid to another state or territory shall be computed in accordance with § 40-18-21, Code of Ala. 1975.

New Rule: Filed December 27, 2006, effective January 31, 2007.

Authors: Voncile Catledge, Joe Garrett, Ed Cutter, CPA

Statutory Authority:Code of Ala. 1975, § 40-2A-7(a)(5).