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		<title><![CDATA[Save Alabama PACT Discussion Forum - Taxes]]></title>
		<link>http://www.savealabamapact.com/forum/topic208-taxes.html</link>
		<description><![CDATA[The most recent posts in Taxes.]]></description>
		<lastBuildDate>Tue, 30 Mar 2010 03:25:26 +0000</lastBuildDate>
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			<title><![CDATA[Taxes]]></title>
			<link>http://www.savealabamapact.com/forum/post1099.html#p1099</link>
			<description><![CDATA[The following was sent by one of our Madison Co SAP members:

"You may have this already posted on the site, but the Alabama Income Tax code was amended beginning in the 2008 tax year to allow current year contributions to Alabama PACT as a deduction to the contributor's taxable income. This is limited to $5,000 per year. ($10,000 for joint filers). If non-qualifying deductions (i.e. surrenders) are made and the amount had been previously deducted from the taxpayer's income, an amount equal to the non-qualifying deduction will have to be added back as income in subsequent filing period. 
 
The code change does apply to 2009 filing as well; however, unless you made payments into a qualifying plan during the tax filing years (2008, 2009, forward) your payments into the plan are not deductible. People with fully paid, but unused contracts which were purchased prior to 2008 cannot deduct their payments in 2008 or beyond. 
 
Again, this is just FYI, but may further influence decisions on contract holders considering getting out.
 
Please refer inquiries to the State of Alabama tax code for all of the details."]]></description>
			<author><![CDATA[dummy@example.com (dhpeacher)]]></author>
			<pubDate>Tue, 30 Mar 2010 03:25:26 +0000</pubDate>
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