This bill proposes to exempt Jackson Hospital & Clinic, Inc. and JHC Pharmacy, LLC from all state, county, and municipal fees and taxes. The exemption would apply for a five-year period starting May 1, 2026, and ending September 30, 2031. The legislation would take effect immediately upon passage, removing the requirement for these two healthcare entities to pay various local and state taxes during the specified timeframe.
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.
This bill proposes a constitutional amendment to allow Monroe County residents aged 65 and older to claim a senior property tax exemption on their primary single-family home. The exemption would freeze the property's assessed value at the level from the year before the exemption begins, protecting owners from future property value increases while still allowing taxes to rise if the home is expanded or improved. To qualify, homeowners must have lived in the property as their main residence for at least five years before applying, and the exemption can be claimed starting October 1, 2027. The measure requires voter approval through an election before it becomes law, and it would not affect existing homestead exemptions or changes to local tax rates.
This bill proposes a constitutional amendment to allow Covington County residents aged 65 or older to claim a property tax exemption on their primary home. To qualify, homeowners must have owned and lived in the home as their principal residence for at least five years before applying. The exemption freezes the property's assessed value at the 2026 level (for claims starting October 2027), preventing tax increases due to rising home values, though local tax rate changes still apply. Homeowners must submit a written application to the county revenue commissioner between October 1 and December 31, 2027, to activate the exemption.
SB 291 would prevent businesses that violate human trafficking or federal child labor laws from keeping economic tax incentives under Alabama's Jobs Act. If an entity violates these laws, it must reimburse the state and local governments for all tax incentives, grants, or abatements received. The bill also requires the Secretary of Commerce to verify applicants comply with these labor laws before approving incentives. These changes update Alabama law to close a loophole allowing violators to retain tax benefits.
HB 485 proposes a constitutional amendment for Clarke County to allow residents aged 65+ to claim a senior property tax exemption on their primary residence. To qualify, individuals must own a single-family home as their principal residence for at least five years, and the exemption freezes the property’s assessed value as of October 1, 2026, for future tax calculations. Claimants must apply in writing with the Clarke County Revenue Commissioner between October 1 and December 31, 2027, and must continue living in the home to maintain the exemption. The exemption does not affect homestead exemptions, millage rate changes, or taxes on property additions after claiming it. This amendment requires voter approval through a statewide election under Alabama’s constitutional process.
SB 289 amends Alabama's Growing Alabama Act to allow tax credits for site improvements when the site is owned by multiple local economic development organizations, provided all parties listed on the deed are eligible applicants. Previously, only sites owned by a single organization qualified for these tax credits. The bill removes the single-ownership requirement, enabling joint applications from multiple eligible organizations to fund infrastructure improvements. This directly affects local economic development groups and businesses that may benefit from improved sites funded through these credits.
SB 265 modifies Alabama's tax incentives for data processing centers. It limits the maximum tax abatement period to 20 years starting January 1, 2027, and requires large data centers (meeting specific job and wage thresholds) to pay state sales/use taxes on purchases beginning the same date. The bill also extends the sunset date for these abatements and updates related tax code language. These changes directly affect new or expanded data processing centers qualifying under Alabama's definition (20+ jobs averaging $40,000+ annual compensation). The bill aims to balance economic development incentives with increased tax revenue collection for qualifying facilities.
HB 379 amends Alabama's Entertainment Industry Incentive Act of 2009 to create a new rebate program for small film productions spending $100,000-$499,999 in the state, offering a 45% rebate on payroll paid to Alabama residents. It extends the deadline for the Department of Commerce to contract an outside review of the incentive program until the first day of the 2028 legislative session. The bill also clarifies that payments to "loan-out companies" (entities handling payroll for freelancers) qualify for the rebate only if the production company properly withheld and remitted Alabama taxes on those payments. This directly affects small film productions and Alabama-based crew members seeking tax incentives under the existing program.
HB 388 exempts 10 specific community foundations in Alabama from state sales and use taxes, including the Black Belt Community Foundation, Central Alabama Community Foundation, and others listed in the bill. It extends this state tax exemption through August 31, 2031, and allows local municipalities and counties to also exempt these foundations from local sales taxes starting September 1, 2026. The bill repeals the previous tax exemption law (Section 40-9-39.4) and requires these foundations to submit annual reports to the Department of Revenue. This policy change directly affects the 10 named community foundations by removing their sales tax obligations at both state and local levels for the specified period.
