HB279 Alabama 2013 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Mac McCutcheon
Republican
Co-Sponsors: Ken Johnson Dan Williams Wayne Johnson Laura Hall Jim Carns Howard Sanderford Greg Burdine Mike Ball Todd Greeson Ed Henry Micky Hammon John Robinson Johnny Mack Morrow Terri Collins Kerry Rich Lynn Greer Mac Buttram Phil Williams Marcel Black Jim Patterson Wes Long
Session: Regular Session 2013
Title: Taxation, aviation jet fuel purchased by international cargo air carriers, refund for excise tax paid on purchases of aviation jet fuel by exemption from sales and use tax, Secs. 40-17-329, 40-23-4, 40-23-62 am'd.
Summary: HB279 creates tax exemptions and refunds for aviation jet fuel used by international all-cargo air carriers and related operations in Alabama, retroactive to 2012.
What This Bill Does
The bill exempts jet fuel sold to air carriers for scheduled all-cargo international flights from Alabama motor fuel tax and allows monthly refunds to licensed distributors and exporters for taxes paid on those gallons; it also exemts jet fuel purchases by these air carriers from sales tax and exemts use tax on jet fuel used for those operations. It establishes refund mechanisms for jet fuel used in foreign trade zones within the state and defines hub-operation refunds for carriers with specific operational criteria. The changes apply retroactively to October 1, 2012 and take effect after the Governor signs the act.

Who It Affects
International all-cargo air carriers operating scheduled flights from Alabama (benefits from sales, use, and excise tax exemptions and potential refunds).
Licensed aviation fuel distributors and exporters (can apply monthly for refunds of taxes paid on jet fuel sold to exempt carriers or exported).
Air carriers with hub operations within Alabama (may be eligible for quarterly refunds for jet fuel used in hub operations meeting defined criteria).
Entities listed in the exemptions for motor fuel use tax refunds (e.g., U.S. government, counties, cities, and certain school systems) (may apply for quarterly refunds on motor fuel purchases).

Key Provisions
Exempts aviation jet fuel sold by a licensed supplier to an air carrier for scheduled all-cargo international flights from the motor fuel tax when used in jet-powered aircraft, including jet fuel purchased in a Foreign Trade Zone within Alabama for international operations.
Authorizes monthly refunds to licensed distributors for taxes paid on jet fuel gallons sold to exempt agencies or air carriers, and to exporters for jet fuel ultimately exported, with proof of export or destination state taxes.
Exempts jet fuel purchases by air carriers for international all-cargo operations from Alabama sales tax, and exempts from use tax the use, storage, or consumption of such jet fuel.
Creates hub-operation refunds for air carriers with hub operations in Alabama, defining criteria (departures, destinations, and regular exchanges) and allowing refunds for jet fuel used in intrastate, interstate, or international commerce.
Provides definitions for key terms (air carrier, all-cargo operations, international commerce, international flights) and establishes retroactive applicability to October 1, 2012, with immediate effectiveness upon Governor's approval.

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