HB451 Alabama 2016 Session

Updated Jul 24, 2021

Summary

Primary Sponsor: Oliver Robinson
Democrat
Session: Regular Session 2016
Title: Financial institution excise tax, allocation and apportionment formula prescribed by Dept. of Revenue, revised, Sec. 40-16-4 am'd.
Description: Under existing law, a financial institution that has income from business activity that is taxable both inside and outside Alabama allocates and apportions its net income pursuant to regulations promulgated by the Department of Revenue. Existing law also requires that these particular rules be substantially the same as the allocation and apportionment formula recommended from time to time by the Multistate Tax Commission, which is a multi-state intergovernmental entity that develops model tax policies for states to consider.
This bill would eliminate the requirement that the allocation and apportionment formula prescribed by the Department of Revenue for financial institutions be substantially the same as the allocation and apportionment formula recommended by the Multistate Tax Commission.
Subjects: Financial Institutions