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Jun 2, 2025  |  
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Jack Birle, Breaking News Reporter


NextImg:Stimulus update: Direct payment worth up to $300 to be sent via Alabama tax rebate starting today


Eligible Alabama residents will begin to see a tax rebate worth up to $300 beginning on Friday, according to the state's Department of Revenue.

This one-time tax rebate was made possible by the state's budget surplus, officials said. It will be sent out to taxpayers in the coming weeks, starting now.

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The amount an eligible taxpayer receives from this rebate is dictated by their filing status. Eligible individual filers and heads of household will receive $150, and eligible married joint filers will receive $300. The payments will be sent to taxpayers by either paper check or direct deposit, depending on how they received their tax refunds for fiscal 2021.

"From the very beginning, it has been my belief that it is the responsibility of government to be good stewards of taxpayer dollars while actively looking for ways to support citizens through tough times," Gov. Kay Ivey (R-AL) said last month in a statement about the tax rebate.

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"Our country is in the midst of tough times, and Alabama families from all walks of life are unfortunately seeing that their paychecks aren't going as far as they once did," she added. "Thanks to our unwavering commitment to fiscal responsibility, one-time tax rebates will be with our hard-working Alabamians in time for the holidays."

To qualify for the rebate, an Alabama taxpayer must have filed 2021 income taxes by Oct. 17, 2022. Those who do not qualify for the tax rebate include nonresidents of the state, trusts, estates, and people claimed as dependents on their tax forms.