Budget & Taxes (Sales Tax)

signed · Alabama · House Mar 5, 2026

HB 331: Blount County, lodging tax increased, additional lodging tax levied, collection and distribution provided for

HB 331 increases Blount County's lodging tax from 4% to 5% of room charges for short-term stays (under 30 days) and authorizes an additional $3 per room per night tax. It affects hotels, motels, and similar lodging businesses in Blount County that rent to transients. The tax will be collected like the state lodging tax, with proceeds deposited into the county tourism fund to support tourism promotion, park maintenance, beautification projects, and covered bridge upkeep. The bill takes effect October 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases lodging tax to fund tourism promotion, park maintenance, and infrastructure projects via dedicated tourism fund, directly advancing county fiscal management and public service funding.95% confidence

Sub-Topics Sales Tax

died · Alabama · Senate Apr 7, 2026

SB 123: Taxation; to exempt certain retail sales of fish or other seafood from sales and use taxes

SB 123 exempts retail sales of unmanufactured fish or seafood directly sold by anglers or fishermen (defined as "producers") from Alabama's state sales and use tax. It also allows counties and municipalities to choose to exempt these same sales from local sales taxes through a local resolution or ordinance. The bill applies only to seafood in its original, unprocessed state sold at retail by the producer, not to restaurants or processors. The exemption would take effect on September 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts seafood sales from state tax, providing targeted tax relief for producers, aligning with fiscal responsibility and tax relief indicators.92% confidence

Sub-Topics Sales Tax

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in committee · Alabama · House Jan 20, 2026

HB 286: Taxation; Energy use in broadcast stations, exempt from utility gross receipts and utility service use tax

HB 286 exempts radio and television broadcast stations licensed by the Federal Communications Commission from Alabama's utility gross receipts tax and utility service use tax on electricity, natural gas, telephone services, and other connectivity services used in their operations. This directly affects licensed broadcast stations by removing taxes on their energy and connectivity expenses for essential equipment like studio facilities, transmitters, and backup power systems. The bill amends Alabama tax code sections to specifically include broadcast stations in existing exemptions for utility services used in production. The exemption applies to all electricity, gas, phone services, and connectivity used for broadcasting functions, effective September 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts broadcast stations from utility taxes, providing tax relief per bill's intent.95% confidence

Sub-Topics Business Taxes Sales Tax

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in committee · Alabama · Senate Jan 27, 2026

SB 217: Mixed spirit beverages, providing for distribution, retail sale, and tax

SB 217 defines "mixed spirit beverages" as drinks containing no more than 7% alcohol by volume, creating a new category currently regulated like liquor (not distributed through beer/wine channels). The bill establishes a licensing system requiring these beverages to be distributed through licensed wholesalers to licensed retailers (except ABC stores), imposes an excise tax on distribution, and mandates exclusive sales territories with binding distribution agreements between suppliers and wholesalers. It also sets penalties for retailers selling to individuals under 21 and adds labeling/display requirements to prevent misleading marketing. This directly affects businesses producing, distributing, and selling these low-alcohol beverages in Alabama.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes excise tax on distribution of mixed spirit beverages, generating state revenue directly impacting budget/tax framework.95% confidence

Sub-Topics Sales Tax

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signed · Alabama · Senate Apr 17, 2026

SB 159: Taxation; Energy use in commercial greenhouses, pivot irrigation systems, and poultry houses, exempt from utility gross receipts and utility service use tax

SB 159 would exempt commercial greenhouses, pivot irrigation systems, and poultry houses in Alabama from paying utility gross receipts tax and utility service use tax on natural gas or electricity used for heating or energy purposes. This directly affects agricultural businesses operating these facilities by reducing their energy-related tax burden. The bill amends Alabama’s tax code to specifically add these uses to existing exclusions, meaning these businesses would no longer pay these taxes on qualifying energy consumption. The measure is pending in the Senate Finance and Taxation Committee and would take effect on September 1, 2026, if enacted.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts agricultural energy use from taxes, providing targeted tax relief to specific businesses per bill's intent.90% confidence

Sub-Topics Business Taxes Sales Tax

passed · Alabama · House Jan 20, 2026

HB 87: Taxation; to exempt sales of deer feed from sales and use taxes

HB 87 exempts sales of deer feed (specifically shelled corn sold for wild deer consumption) from Alabama's state sales and use taxes. It also allows counties and municipalities to choose whether to exempt deer feed sales from local taxes. The bill directly affects businesses selling deer feed and local tax authorities, changing how these sales are taxed at both state and local levels. The exemption takes effect on September 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts deer feed from state sales tax, providing tax relief and directly altering tax policy per bill's explicit language.95% confidence

Sub-Topics Sales Tax Tax Incentives

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in committee · Alabama · Senate Jan 13, 2026

SB 18: Taxation; state privilege tax on revenues of pari-mutuel wagering activities, levied

SB 18 would impose a new 4% state tax on net gambling revenues from historical horse racing pari-mutuel wagering operations. It applies specifically to licensed businesses running historical horse racing betting, replacing their existing privilege taxes with this single rate. The tax base excludes free bets, promotional credits, and prize payouts, while explicitly preserving current tax structures for live horse racing, greyhound racing, and simulcast operations. The bill does not authorize new gambling activities or alter existing legal gambling frameworks.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes new 4% tax on gambling revenues, increasing state budget revenue without defunding programs or targeting lower-income groups.95% confidence

Sub-Topics Business Taxes Sales Tax

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passed · Alabama · House Feb 25, 2026

HB 4: Taxation; establishes Alabama Broadband Investment Maximization Act; exempts ADECA project funded or administered purchases from sales and use tax

HB 4 establishes the Alabama Broadband Investment Maximization Act, exempting purchases of broadband equipment and supplies for projects funded or administered by the Alabama Department of Economic and Community Affairs (ADECA) from state sales and use taxes. This directly affects ADECA-funded broadband infrastructure projects by reducing their costs. The exemption covers equipment like cables, antennas, and routers used for broadband services or internet access, but excludes personal devices such as smartphones and consumer routers. The tax exemption applies from September 1, 2026, through August 31, 2029, and does not extend to local county or municipal taxes unless specifically approved.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts ADECA broadband equipment purchases from sales tax, reducing project costs and supporting infrastructure funding under fiscal responsibility.95% confidence ✓ TechnologySupports TechnologyExempts broadband equipment from taxes, reducing costs for infrastructure projects and expanding internet access per bill's explicit purpose.90% confidence

Sub-Topics Sales Tax Tax Incentives Broadband Access

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in committee · Alabama · Senate Jan 13, 2026

SB 13: Taxation; Energy use in poultry houses, exempt from utility gross receipts and utility service use tax

SB 13 would exempt Alabama poultry producers from paying state utility taxes on natural gas, propane, or electricity used specifically for heating poultry houses. The bill amends existing tax code sections to explicitly add poultry house heating to the list of exempt energy uses, removing a current tax burden on this operational cost. This change directly affects poultry farms by reducing their energy expenses for maintaining proper temperatures in housing facilities. The exemption would apply to energy purchased and consumed directly for heating purposes, effective September 1, 2026, pending legislative approval.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts poultry producers from utility taxes on heating, reducing tax burden and providing targeted tax relief per bill's explicit amendment to tax code.95% confidence

Sub-Topics Sales Tax

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in committee · Alabama · House Mar 19, 2026

HB 15: Taxation, sales tax exemptions, sales and use tax exemption with local option provided for purchases of optical aids, including eyeglasses and contact lenses.

HB 15 would exempt eyeglasses and contact lenses from Alabama's sales and use tax. Currently, these items are taxed under state law, but the bill would remove that tax obligation. This change would directly affect consumers purchasing optical aids and retailers selling them, as they would no longer pay or collect tax on these items. The bill amends Alabama Code Section 40-23-1 to add eyeglasses and contact lenses to the list of tax-exempt products.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts essential optical aids from sales tax, providing direct tax relief to consumers purchasing necessities.90% confidence ✓ HealthcareSupports HealthcareExempts vision care devices from sales tax, reducing costs and improving access to essential medical aids for patients.85% confidence

Sub-Topics Procurement Sales Tax Tax Incentives

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