Bill > HB11

This bill modifies Alaska's Permanent Fund Dividend (PFD) program by introducing several key provisions. First, the bill requires that the dividend disbursement stub now include a statement indicating the entire dividend amount may be subject to federal income tax, regardless of any donations or contributions made. The bill also changes the priority order for allocating dividend funds when contributions and donations exceed the total dividend amount, establishing a specific hierarchy: first contributions under AS 43.23.130, then donations under AS 43.23.230, and finally contributions under the newly created AS 43.23.135. The most significant new provision is the creation of AS 43.23.135, which allows PFD applicants to voluntarily contribute $25 or more (in $25 increments) directly to the state's general fund or the permanent fund's principal. This contribution option must be presented separately from other existing contribution options, and public agencies claiming a dividend on behalf of an individual are prohibited from making such contributions. The bill aims to provide more transparency about the dividend's tax implications and offer Alaskans an additional way to support state funds directly through their annual dividend.

Budget and Finance, Government Affairs

https://www.akleg.gov/basis/Bill/Detail/34?Root=HB11