HB355 Alabama 2011 Session

Summary

Primary Sponsor

Mike Hill

Republican

Session

Regular Session 2011

Title

Streamlined Sales and Use Tax Commission, established to develop, implement, and administer programs for compliance with federal Streamlined Sales and Use Tax Agreement (2011-20802)

Summary

HB355 would create the Alabama Streamlined Sales and Use Tax Commission to study and plan how Alabama would join the federal Streamlined Sales and Use Tax Agreement, including what tax-law changes would be needed.

What This Bill Does

It creates a 10-member Alabama Streamlined Sales and Use Tax Commission to identify and develop programs needed for compliance with the Streamlined Sales and Use Tax Agreement, if and when federal legislation adopts the agreement. The commission would plan for single entity administration of state and local sales and use taxes, plus systems for notices, implementation, audits, and a rate database. It must study Alabama's current tax laws to identify required changes and draft proposed legislation, with preliminary and final recommendations and defined timelines. Implementation would occur only if federal legislation adopting the agreement becomes law, and funding would come from general funds.

Who It Affects

• Local governments (municipalities and counties) that appoint members to the commission and may be affected by future changes to how state and local sales and use taxes are collected and administered.
• Businesses and taxpayers in Alabama, including retailers and remote sellers, who could be affected by changes to tax collection processes, notice/implementation systems, audit authority, and the potential requirement for remote sellers to collect and remit taxes if federal law passes.

Key Provisions

• Establishes the Alabama Streamlined Sales and Use Tax Commission to plan for compliance with the Streamlined Sales and Use Tax Agreement if federal adoption occurs.
• Commission composition: 10 members including municipal and county officials, Department of Revenue staff, and representatives of the retail and business communities.
• Duties include developing single entity administration, notice and implementation systems, audit processes, and a database of all state and local tax rates.
• Requires preliminary report within 3 months and a final report by the fifth legislative day of the 2012 Regular Session, including cost estimates and public comment periods; implementation contingent on federal law.
• Also requires the commission to research Alabama’s existing tax laws and draft proposed changes; the Department of Revenue assists; final recommendations due after federal legislation adopting the agreement becomes law.
• Legislature to appropriate general funds for the commission’s expenses and program implementation.
• Effective date is immediate, with actual implementation dependent on federal legislation.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation