HB179 Alabama 2017 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Isaac Whorton
Republican
Session: Regular Session 2017
Title: Water districts, tax exemption further provided for, Sec. 11-89-16 am'd.
Summary: HB179 would explicitly exempt water districts in Alabama from all state and local taxes.
What This Bill Does
It changes the law to state that water districts, their property and income, all bonds issued by the district, income from those bonds, conveyances to or from the district, leases, mortgages, and deeds of trust are exempt from all state taxation. The district would also be exempt from taxes levied by counties, municipalities, or other political subdivisions, including license and excise taxes related to the district’s activities. The district would not have to pay or allow fees, taxes, or costs to the county probate judge for incorporation, amendments, or recording documents. The act becomes effective on the first day of the third month after it passes and is approved by the Governor.

Who It Affects
Water districts: receive broad tax exemptions for their operations, property, income, and related financial instruments.
Counties, municipalities, and other political subdivisions: lose the authority to tax water districts or levy license/excise taxes on them.
County probate offices: districts are not required to pay probate fees for incorporation, amendments, or recording documents.

Key Provisions
Exemption from all taxation for the district, its property, income, bonds, income from bonds, conveyances to or from the district, leases, mortgages, and deeds of trust.
Exemption from taxes levied by counties, municipalities, or other political subdivisions, including license and excise taxes related to district activities.
District not obligated to pay fees, taxes, or costs to county probate judges for incorporation, amendments, or recording documents.
Effective date: first day of the third month following passage and Governor’s approval.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Taxation