On Tuesday, the Alabama House of Representatives passed House Bill 175, legislation which would establish a state income tax credit for farmers and owners of food establishments who donate edible farm products to food banks.
The bill, introduced by Rep. Ben Robbins, R-Sylacauga, is also known as the “Farm-to-Food Bank Act of 2026.” It would provide eligible donors who donate farm products to qualifying food banks with a tax credit equal to the lesser of either 15 percent of the value of the farm products donated or a flat sum of $5,000.
Farmers looking to receive the credit would be required to file an annual informational report to the Alabama Department of Agriculture and Industries detailing the products they have donated during that tax year. The credits would then be distributed on a first come, first served basis with the total amount of tax credits available for all taxpayers capped at $2 million.
The Department of Agriculture and Industries would also be responsible for submitting an annual report to the Alabama State Legislature detailing the products donated and the amount of tax credits claimed under the act.
After the adoption of a brief technical amendment on the House floor Tuesday, HB175 went on to pass with unanimous approval. Robbins celebrated the bill’s passage in a written statement provided to APR.
“This bill is a win-win situation,” Robbins said. “It will encourage food banks to distribute healthy nutritious food to people in need and provide tax relief to farmers without growing government.”
“We took a step today, using small government solutions, to make sure that we connect food banks and farmers,” he added. “The health and wellbeing of the state will be improved by this legislation.”
If ultimately enacted into law, HB175 would take effect on June 1, 2026, with the tax credit becoming available for the 2027 tax year and sunsetting after tax year 2031. HB175 will now move to the Senate for further consideration.
