HB 350 creates the Angel Investor Tax Credit Act, allowing Alabama residents or entities investing in qualifying startups to claim a 25% income tax credit on their investments. The credit applies to investments in businesses headquartered in Alabama with ≤100 employees, operating for ≤10 years, and focused on sectors like manufacturing, technology, or agribusiness (excluding retail or financial services). At least 50% of annual credits are reserved for "priority impact businesses" in healthcare, agriculture, education, or workforce development. Credits are capped at $250,000 per investor yearly and $12 million total annually for subsequent years, with requirements to maintain operations in Alabama for three years.
SB 56 proposes a constitutional amendment for Walker County, Alabama, allowing residents aged 65 or older to claim a property tax exemption on their primary residence. To qualify, individuals must own a single-family home as their main home for at least five years and apply in writing between October 1 and December 31, 2027. The exemption freezes the property’s assessed value from the year before claiming it, though taxes may still rise if local millage rates increase. It does not affect eligibility for other exemptions like homestead benefits, and the exemption continues as long as the property remains the owner’s primary residence. The amendment requires voter approval to take effect.
SB 69 expands Alabama's existing income tax exemption for active-duty military personnel to include civilian employees of the U.S. Department of Defense and Armed Forces. It exempts their compensation from state income tax when earned while serving in a combat zone, deployed outside the U.S., or activated for emergencies by Alabama's governor or the President. This change directly affects civilian defense workers who meet these specific service conditions. The exemption applies to tax years beginning January 1, 2027.
SB 212 proposes a constitutional amendment for Fayette County, Alabama, to allow residents aged 65 or older who own and live in their primary single-family home for at least five years to claim a property tax exemption. The exemption would freeze the property’s assessed value from the year before claiming it, reducing annual tax bills. To qualify, seniors must submit a written application to Fayette County’s Revenue Commissioner between October 1 and December 31, 2027, and maintain the home as their primary residence. The amendment requires voter approval to take effect and does not affect millage rates or other exemptions.
HB 310 proposes a constitutional amendment for Limestone County, Alabama, that would allow residents aged 65 or older to claim a property tax exemption on their primary residence. To qualify, homeowners must have lived in the property as their main home for at least five years and own it as a single-family residence. The exemption freezes the property’s assessed value from the year before claiming it (for the 2026 value, effective October 2027), while requiring continued residency and maintaining other eligible exemptions. This change requires voter approval through a statewide election under Alabama’s constitutional amendment process.
HB 210 proposes a constitutional amendment for Fayette County, Alabama, allowing residents aged 65 or older to claim a property tax exemption on their primary residence. To qualify, seniors must own a single-family home as their principal residence for at least five years prior to claiming the exemption, which freezes the property’s assessed value at the prior year’s level. The exemption requires written application to Fayette County’s Revenue Commissioner between October 1 and December 31, 2027, and remains in effect as long as the property continues as the owner’s primary residence. This change does not affect millage rates or other existing exemptions like the homestead exemption.
HB 209 proposes a constitutional amendment to allow Walker County residents aged 65+ to claim a property tax exemption on their primary residence. The exemption freezes the property's assessed value from the year before claiming it, applies only to single-family homes owned for at least five years, and requires written application between October 1-December 31, 2027. Homeowners must continue using the property as their primary residence to maintain the exemption, though millage rate changes and other exemptions remain unaffected. This amendment requires voter approval to become part of Alabama's constitution.
SB 235 exempts Crime Stoppers of Metro Alabama, Incorporated, from paying Alabama state sales and use taxes. It also allows counties and municipalities to choose whether to exempt this organization from local sales and use taxes through a local resolution or ordinance. The bill takes effect on September 1, 2026, and directly affects this specific nonprofit organization by removing its tax obligations for sales and use taxes at both state and optional local levels. This is a targeted tax exemption, not a broad policy change.
SB 225 would exempt the first $5,000 of annual drill pay earned by Alabama National Guard members from state income tax. This bill modifies Alabama's existing tax code to specifically include National Guard drill pay under the state's income tax exemption rules, expanding a current exemption for certain military compensation. The change directly affects Alabama National Guard members who earn income from part-time service (drill pay), reducing their state tax burden on that portion of their earnings. The bill also includes minor technical updates to align the tax code language with current formatting standards.
SB 213 proposes a constitutional amendment for Lamar County, Alabama, allowing residents aged 65 or older who own a primary residence there to freeze their property tax amount. To qualify, individuals must have owned and lived in the home as their main residence for at least five years before claiming the exemption, which locks the tax value at the year before claiming (starting October 1, 2027). The exemption continues as long as the property remains their primary residence, but does not affect homestead exemptions, millage rate changes, or taxes on future property additions. Claimants must submit written requests to Lamar County’s Revenue Commissioner between October 1 and December 31 annually.
