This bill proposes to reinstate a tax exemption for overtime pay earned by hourly workers in Alabama, which had previously been in effect only through June 30, 2025. Under the new rules, overtime compensation calculated according to the U.S. Fair Labor Standards Act would be excluded from state income tax starting with the 2027 tax year. The legislation also mandates that the Department of Revenue and the Alabama Commission on the Evaluation of Services conduct and publish an economic impact study to analyze the effects of this exemption. Additionally, the bill includes minor technical updates to align the state tax code with current language standards.
HB 660 creates the Beginning Farmer and Succession Continuity Act to help new farmers in Alabama acquire land by offering financial incentives and support. The bill provides a refundable income tax credit of up to $200,000 to landowners who sell or lease farmland to qualified beginning farmers, provided the land remains in agricultural use for five years. It also establishes a state-backed loan guarantee program covering up to 75% of eligible loans and sets up an online registry to connect retiring farmers with newcomers. Additionally, the act creates a dedicated assistance fund, requires annual reporting on program outcomes, and includes audit provisions to ensure compliance with eligibility rules.
This bill modifies Alabama's economic development laws to allow Major 21st Century Manufacturing Zones to be established within existing tax increment districts regardless of the district's size. It permits public entities to use ad valorem tax revenues collected within these districts to reimburse costs for acquiring land before the tax increment district was created. The legislation also includes technical updates to align the code with current language standards. These changes directly affect local governments, public entities, and developers involved in manufacturing projects and economic revitalization efforts.
This bill modifies rules for tax increment districts in the state, allowing major 21st Century Manufacturing Zones to be located within these districts regardless of the district's size. It specifically expands the list of eligible industries to include ship building, medical, pharmaceutical, semiconductor, computer, and aviation sectors. The legislation also permits the use of ad valorem tax revenues collected within these districts to support the designated manufacturing zones. These changes aim to provide more flexibility in economic development efforts by broadening which industries can benefit from tax increment financing.
This bill would reinstate a tax exemption for the Alabama Gulf Coast Zoo, allowing it to avoid paying state sales and use taxes on capital purchases like equipment and building materials through September 30, 2028. The legislation also permits individual counties and municipalities to choose whether to extend similar exemptions for the zoo at the local level. Currently, the zoo's tax exemption expired in September 2022, and this measure would restore that benefit to help the nonprofit organization manage its financial operations. The zoo would continue to pay all other applicable taxes and must submit annual reports to the state Department of Revenue regarding its tax-exempt sales.
This bill modifies the lodging tax rules in Etowah County, Alabama, by increasing the required continuous stay period for tax exemption from 30 days to 180 days. It directly affects hotels, motels, inns, and other lodging establishments operating in the county by changing how long guests must stay to avoid the two percent privilege and license tax on their room charges. The bill also specifies that tax revenue collected will be split equally between tourism promotion and beautification and ecology projects, with funds managed by local commissions. The changes are set to take effect on October 1, 2026, and apply only to accommodations provided to transient guests.
This bill proposes adding a constitutional amendment to allow Perry County residents aged 65 or older to claim a senior property tax exemption on their primary homes. The exemption would freeze the assessed value of the property for tax purposes, protecting owners from future property value increases while they continue to live there. To qualify, homeowners must have lived in the property as their main residence for at least five years before the tax year they first claim the exemption, and they must apply in writing between October 1 and December 31. The exemption applies only to single-family owner-occupied homes and does not prevent the property from being subject to regular millage rate changes or taxes on any new additions made after claiming the exemption.
This bill proposes a constitutional amendment to allow seniors in Wilcox County, Alabama, to receive a property tax exemption on their primary residences. The measure would freeze the assessed value of qualifying homes for tax purposes, protecting owners from future increases in property values. To qualify, homeowners must be at least 65 years old and have lived in the property as their main home for at least five years before claiming the exemption. The exemption can be claimed starting in 2027 and applies only to the original property value, meaning any additions or improvements made after claiming the exemption would still be taxed. This change would require voter approval in a special election before it becomes law.
This bill proposes a constitutional amendment to allow Madison County residents aged 65 or older to claim a senior property tax exemption on their primary homes. The exemption would freeze the assessed value of the property at the rate before the exemption is claimed, protecting owners from future property value increases while still applying any new millage rates to the frozen value. To qualify, homeowners must have lived in the property as their main residence for at least five years before applying, and they must submit a written request to the county revenue commissioner between October 1 and December 31. The exemption can be claimed starting October 1, 2027, and would continue as long as the property remains the owner's primary residence. This change would require voter approval through a special election to amend the state constitution.
This bill establishes the Main Street Revival Act to support economic development in small Alabama towns with populations under 25,000. It creates four grant programs administered by the Alabama Department of Economic and Community Affairs to help businesses start or expand, preserve historic commercial buildings, support temporary retail spaces and business mentorship, and assist local governments with updating zoning and land use regulations. Additionally, the bill creates a 25 percent income tax credit for property owners who renovate eligible vacant or underutilized commercial properties. Funding for these programs depends on future legislative appropriations, and the law takes effect on January 1, 2027.
