Alabama Flat Tax Proposal

MONTGOMERY, Ala. (AP) – Some legislators are urging Alabama to switch to a flat tax and do away with the state’s current income tax code.

Senate Republicans on Tuesday said they will push for a constitutional amendment to switch to a flat tax.

Sen. Bill Hightower said a flat tax simplifies the tax process. He said people should be able to complete their state taxes on a postcard.

The proposal would reduce the personal income tax rate from 5 percent to 2.75 percent of a person adjusted gross income. The corporate tax rate would drop from 6 percent to 4.5 percent.

The idea, if approved by lawmakers, would go before voters in 2016.

Kimble Forrister, executive director of Alabama Arise, an advocacy group for low-income families, said he needed to see additional details.