SB540 Alabama 2010 Session

Summary

Primary Sponsor

Rodger SmithermanSenator

Democrat

Co-Sponsors

Phil PooleTom ButlerGeorge M. “Marc” KeaheyMyron PennWendell MitchellBobby D. SingletonPriscilla DunnLinda Coleman-MadisonLowell BarronHinton MitchemRoger Bedford, Jr.Quinton RossBobby DentonHank SandersLarry MeansZeb LittleVivian Davis Figures

Session

Regular Session 2010

Title

Taxation, purchase of real property used as a residence, exempt from privilege or license tax or recording tax pursuant to Chapter 22, Title 40 of Code of Alabama 1975

Summary

SB540 would exempt the purchase of real property used as a residence from privilege or license taxes and recording taxes in Alabama (with a sunset date).

What This Bill Does

Currently, deeds and other real estate transfers must be recorded and taxed. This bill would exempt the purchase of real property used as a residence from those taxes and require local authorities to suspend collection of the taxes until January 1, 2012. The exemption would take effect immediately after the bill is enacted, and the tax break would end on January 1, 2012.

Who It Affects

• Homebuyers who purchase real property that will be used as a residence in Alabama would not have to pay privilege or license tax or recording tax on the purchase through January 1, 2012.
• Local governments and the offices that collect these taxes would suspend collection of the privilege or license tax and recording tax through January 1, 2012.

Key Provisions

• Exempts the purchase of real property used as a residence from the privilege or license tax and the recording tax under Chapter 22, Title 40 of the Alabama Code, through January 1, 2012.
• Local authorities must suspend collection of these taxes through January 1, 2012.
• The act becomes effective immediately after passage and governor approval (or becoming law).

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation