Simplified sellers use tax, distribution of proceeds revised

HB 434 changes how Alabama's simplified sellers use tax (SSUT) revenue is distributed. It reduces the portion going to the Education Trust Fund and redirects those funds directly to local school boards based on student enrollment. Specifically, it reallocates funds previously sent to the Education Trust Fund (25% under current law) to local boards of education, while keeping the same total allocation percentages for counties and municipalities. This bill directly affects local school districts by increasing their funding from SSUT proceeds, and the Education Trust Fund by reducing its share. The change would take effect on October 1, 2026.