HB599 Alabama 2012 Session

Summary

Primary Sponsor

Barry Mask

Republican

Co-Sponsors

Rod ScottTerri Collins

Session

Regular Session 2012

Title

Alabama Tourism Attraction Incentive Act, established, tax incentive and capital credits authorized for certain tourism attractions, Secs. 40-9B-3, 40-18-190, 40-18-193 am'd

Summary

HB599 lets local governments grant tax abatements for private tourism destination attractions and creates capital credits to help fund them.

What This Bill Does

It authorizes abatements of ad valorem taxes and construction related transaction taxes for private users of tourism destination attractions for up to 10 years, with eligibility tied to local government approvals and project timelines. It also establishes a capital credit program allowing up to 5% of a project’s capital costs to be credited against state income tax or the financial institution excise tax for 20 years, subject to wage and employment requirements. The act defines what counts as a tourism destination attraction and sets minimum capital cost thresholds and other requirements for eligibility, including several related project types and a prohibition on gaming facilities. It also explains how credits are allocated across tax years, how compliance must be maintained, and penalties if employment or wage requirements are not met.

Who It Affects

• Private users of tourism destination attractions who could receive abatements and capital credits if they meet the program’s thresholds and wage/employment requirements
• Local governments and public authorities (municipalities, counties, and public industrial authorities) that grant abatements and approve inducements for tourism destination attraction projects

Key Provisions

• Abatements: Local governing bodies may abate ad valorem taxes and construction related transaction taxes for private users of tourism destination attractions for up to 10 years, with effective dates tied to statements of intent filed after 12/31/2011; abatements do not apply to periods before 2012.
• Capital credits: Tourism destination attractions can receive a capital credit equal to up to 5% of the project’s capital costs each year for 20 years, to be used against state income tax or financial institution excise tax.
• Qualifying costs and thresholds: The act sets minimum capital cost thresholds for qualifying tourism destination attractions and other project types, with thresholds depending on whether the project is in a favored geographic area.
• Employment and wage requirements: Qualifying projects must create a minimum number of new jobs and pay wages at or above specified base wage levels; compliance is evaluated year by year, and credits can be forfeited if requirements are not met.
• Definitions and exclusions: The act defines tourism destination attraction and related terms such as private user and private use property, and excludes gaming facilities and certain retail- or locally oriented facilities from eligibility.
• Credit administration: Credits may be allocated to the recipient’s tax years, and the law provides rules for how credits are handled if ownership changes); the act takes effect immediately upon approval by the Governor.

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

Subjects

Alabama Tourism Attraction Incentive Act