The "Usual Suspects" actor was arrested in December in New York for failing to file income tax returns for three years.
Baldwin initially owed $400,000 in back taxes, but the court waived the interest and penalties, bringing the total down to $350,000, the actor's lawyer, Russell Yankwitt said Friday.
The court then reduced the amount to $300,000, though the reason for the reduction was not reported.
Yankwitt said if Baldwin pays the money back within a year, the charge will be taken off his record. Otherwise he will be sentenced to five year's probation and must repay the money within five years, CNN reported.
"Mr. Baldwin is a man of faith, and it's difficult for him to get jobs in Hollywood that are compatible with his faith, and that's one of the difficulties he's had paying off the money," Yankwitt said.