Alabama § 31-13-16 - Certain Business Expense Deductions Prohibited.
Full text of Alabama Code of Alabama § 31-13-16 — Certain Business Expense Deductions Prohibited., with citation guidance and answers to common questions.
§ 31-13-16. Certain Business Expense Deductions Prohibited.
(a) No wage, compensation, whether in money or in kind or in services, or remuneration of any kind for the performance of services paid to an unauthorized alien shall be allowed as a deductible business expense for any state income or business tax purposes in this state. This subsection shall apply whether or not an Internal Revenue Service Form 1099 is issued in conjunction with the wages or remuneration.
(b) Any business entity or employer who knowingly fails to comply with the requirements of this section shall be liable for a penalty equal to 10 times the business expense deduction claimed in violation of subsection (a). The penalty provided in this subsection shall be payable to the Alabama Department of Revenue.
Source: official Alabama text · Last verified 2026-08-27
Frequently Asked Questions About Alabama § 31-13-16
What does Code of Alabama § 31-13-16 cover?
Section 31-13-16 ("Certain Business Expense Deductions Prohibited.") is part of the Code of Alabama, the codified statutory law of Alabama. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Alabama § 31-13-16?
A common citation format is "Code of Alabama § 31-13-16" (Alabama). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Alabama law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Alabama official source linked on this page or consult a licensed Alabama attorney.
How does Alabama § 31-13-16 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Alabama can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Alabama.