HB258 Alabama 2016 Session

Summary

Primary Sponsor

Rod Scott

Democrat

Session

Regular Session 2016

Title

Individual taxpreparers, registration and regulation of by Dept. of Revenue, established, accountants and attorneys exempted, Alabama Taxpayer Protection and Assistance Act

Summary

HB258 would require most individual tax preparers in Alabama to register with the Department of Revenue, create a funding mechanism for enforcement and outreach, and provide consumer protections.

What This Bill Does

This bill creates a registration program for individual tax preparers before they can file Alabama tax returns. It provides exemptions for CPAs, enrolled agents, attorneys, and certain government or IRS personnel. It authorizes the Department to set registration and renewal fees, require continuing education, investigate violations, and seek court orders or injunctions; and it establishes the Individual Tax Preparers Fund to pay for administration, VITA programs, and outreach to low-income taxpayers. It also requires disclosures to consumers and annual reporting by registrants.

Who It Affects

• Non-exempt individual tax preparers must register, meet basic qualifications, pay fees, renew annually, and follow continuing education and disclosure requirements.
• Consumers who hire tax preparers will receive disclosures about the preparer’s qualifications and will be protected from unregistered preparers; funds from fees may support free tax help and Earned Income Tax Credit outreach.

Key Provisions

• Establishes the Alabama Taxpayer Protection and Assistance Act to regulate registration of individual tax preparers and prohibit unregistered practice.
• Creates the Individual Tax Preparers Fund to pay for administration, enforcement, VITA programs, and outreach; funds also come from registration fees and appropriations.

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

Subjects

Tax Preparers