SB207 Alabama 2016 Session

Summary

Primary Sponsor

Tom Whatley

Republican

Session

Regular Session 2016

Title

Taxation, exempt municipality and public industrial authority from granting abatement if they do not levy or impose one or more of the taxes to be abated, Sec. 40-9B-5 am'd.

Summary

SB207 clarifies that the prohibition on county tax abatements by municipalities or municipal public industrial authorities does not apply when the municipality does not levy the taxed portion or when the property is outside the municipality’s taxing jurisdiction, and it makes this change retroactive to 2002.

What This Bill Does

It adds exceptions to the rule that county tax abatements must be paired with abating corresponding municipal taxes. The exceptions apply if the municipality does not levy or impose one or more of the taxes to be abated, or if the private use industrial property is located outside the municipality’s taxing jurisdiction. The same exceptions apply to abatements granted by county boards and municipal public industrial authorities. The measure includes a retroactive effective date back to April 4, 2002.

Who It Affects

• Municipalities and municipal public industrial authorities — gain authority to grant abatements of county taxes in certain cases even if they do not levy the corresponding municipal taxes or if the property is outside the municipality’s taxing jurisdiction.
• County governments — abatements for private use industrial property may be clarified under these exceptions, potentially expanding when they can grant abatements.
• Private use industrial property owners/developers — may benefit from county tax abatements in situations where the property is outside the municipality’s jurisdiction or the municipality does not levy the taxed amounts.

Key Provisions

• Amends Section 40-9B-5 to add exceptions to the prohibition on abating county taxes by municipalities or municipal public industrial authorities.
• Exceptions include: (a) the municipality does not levy or impose one or more taxes to be abated; (b) the private use industrial property is located outside the municipality’s taxing jurisdiction.
• Public industrial authorities have the same exception framework as municipalities for county tax abatements.
• The act provides for retroactive effectiveness to April 4, 2002.

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