HB597 Alabama 2012 Session

Summary

Primary Sponsor

Jack Williams

Republican

Session

Regular Session 2012

Title

Taxation, payment of taxes through an electronic single point of filing program, no charge, Revenue Department promulgate rules, State and Local Advisory Committee created

Summary

HB597 would require Alabama to create ONE SPOT, a free electronic system for filing and paying state and local sales and use taxes, and establish a State and Local Advisory Committee to guide it.

What This Bill Does

It requires the Department of Revenue to develop and offer an electronic single point of filing for state, county, and municipal sales/use taxes, with no charge to users. The system would handle filing and remittance but not local tax administration or enforcement. It creates a State and Local Advisory Committee to provide input, and provides up to $1 million in funding over three years to help local jurisdictions interface with ONE SPOT; implementation would be completed by Sept 30, 2013, with ongoing rules and operations governed by the department.

Who It Affects

• Taxpayers required to file and remit state, county, and municipal sales or use taxes: can file and pay electronically through ONE SPOT at no cost, may be required to use the system or follow local rules if they choose to use it, and must pay via ONE SPOT or another approved electronic method when using local tax systems.
• Local taxing jurisdictions (counties and municipalities): must authorize and interface with ONE SPOT for taxpayers to file and pay local taxes, must set up accounts to receive payments through the system, may receive funding to support interfacing, and participate in the advisory committee for input on ONE SPOT.

Key Provisions

• Establishes ONE SPOT, the Optional Network Election for Single Point Online Transactions, as the system for filing and remitting state and local sales/use taxes; it may only cover filing/remittance and not local tax administration or enforcement.
• No charges to use ONE SPOT for taxpayers or local taxing jurisdictions; the Department must promulgate rules to implement the act; ONE SPOT must be available for tax periods after Sept 30, 2013.
• Funding: beginning no later than January 2013, the Department will provide up to $1,000,000 in financial assistance for three years to help local jurisdictions interface with ONE SPOT.
• Local tax rates and local tax information must be communicated to the department, and local jurisdictions must set up designated bank accounts for payments; non-state jurisdictions must allow dishonored payments to be reversed by the system.
• A State and Local Advisory Committee is created to guide ONE SPOT, consisting of three county representatives, three municipal representatives, one business representative, and one retail representative; they provide recommendations and can appeal to the Legislative Council if the commissioner ignores their recommendations.
• Penalties and interest follow state law unless local jurisdictions elect different terms (e.g., 1% per month) and the local discount rate applies if chosen; waivers for penalties must go through the local jurisdiction.
• Effective date: the act becomes effective on the first day of the second month after passage; the system implementation deadlines include completion by Sept 30, 2013, with ongoing operation and rulemaking.

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