HB17 Alabama 2015 2nd Special Session

Summary

Primary Sponsor

Jack Williams

Republican

Session

Second Special Session 2015

Title

Sexually oriented material, defined, excise tax levied, collection by Revenue Department, deposit in General Fund

Summary

HB17 would impose new excise taxes on sales of sexually-oriented materials and admissions or services at sexually-explicit businesses, with revenue shared between the state and local governments and deposited into the General Fund.

What This Bill Does

It imposes a 40% state excise tax on gross receipts from the sale or rental of sexually-oriented materials (where minors are prohibited) and on charges for admission to or services at sexually-explicit businesses. It also imposes a 10% additional excise tax on the same receipts, with the proceeds split between counties and municipalities where the sale occurs or the business is located (or between state and county in unincorporated areas). Taxes are collected by dealers or business owners and remitted monthly to the Department of Revenue, with 1% allowed to cover collection costs and the rest deposited into the General Fund. The act sets definitions and includes certain exemptions, and becomes effective three months after passage.

Who It Affects

• Dealers, manufacturers, distributors, wholesalers, and retailers of sexually-oriented materials who would owe the 40% state tax and the 10% additional tax and file monthly tax returns.
• Owners or operators of sexually-explicit businesses (such as venues offering striptease or massage) who would owe the 40% tax on admission charges and services, plus the 10% additional tax, with local revenue distributed to counties and municipalities.

Key Provisions

• Imposes a 40% state excise tax on gross receipts from the sale or rental of sexually-oriented materials (prohibited to minors) and on charges for admission to and services at sexually-explicit businesses, with exemptions for certain MPAA-rated films (R or NC-17) and for contraceptives or physician-prescribed sexual medications.
• Imposes an additional 10% excise tax on the same receipts, with the proceeds split: half to the county and half to the municipality where the sale or business is located; in unincorporated areas, the municipality’s share is split between state and county.
• Taxes are collected by the dealer or owner and remitted monthly to the Department of Revenue, with a 1% retention for collection costs and no other administrative retention.
• All tax revenues are deposited into the State General Fund.
• The act defines key terms (e.g., dealer, minor, nude, sexually-oriented material, sexually-explicit businesses) and sets the effective date as the first day of the third month after passage.

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

Subjects

Pornography