SB256 Alabama 2015 Session

Summary

Primary Sponsor

Bill Holtzclaw

Republican

Session

Regular Session 2015

Title

Taxation, organizations that receive exemption from sales and use tax because of specific legislation shall file annually certain information to the Department of Revenue, Department of Revenue to promulgate rules

Summary

SB256 would require certain sales/use tax-exemption organizations to file annual reports with the Department of Revenue, or face suspension of their exemption.

What This Bill Does

Requires organizations that receive a sales/use tax exemption due to specific legislation to annually report to the Department of Revenue the total purchases and sales that would have been taxed and proof of 501(c)(3) status. If an organization fails to file the report, its tax exemption would be suspended for the preceding year. The Department of Revenue would create rules necessary to enforce the act.

Who It Affects

• Organizations that currently receive a sales and use tax exemption due to specific legislation would be required to file annual reports including their total taxed purchases/sales and proof of 501(c)(3) status.
• The Alabama Department of Revenue would be responsible for receiving filings and issuing enforcement rules.

Key Provisions

• Annual filing requirement: organizations must submit total purchases and sales for the year that would have been taxed and proof of 501(c)(3) status to the Department of Revenue.
• Penalty for non-compliance: failure to file results in suspension of the tax exemption status for the preceding year.
• Rulemaking: the Department of Revenue must promulgate rules necessary to enforce the act.
• Effective date: the act takes effect on the first day of the third month after passage and 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