HB83 Alabama 2017 Session

Summary

Primary Sponsor

Rod Scott

Democrat

Session

Regular Session 2017

Title

Use tax, simplified sellers, procedures for collection and distribution of proceeds from out-of-state sellers, six month deferral deleted, disclosures re eligible sellers, reporting, Sec. 40-23-197.1 added; Secs. 40-2-11, 40-23-191, 40-23-193, 40-23-195 am'd.

Summary

HB83 would enable monthly distributions of the simplified sellers use tax to local governments and expand transparency and reporting requirements for participating sellers.

What This Bill Does

The bill authorizes the Department to start distributing the proceeds of the simplified sellers use tax to counties and municipalities on a monthly basis. It removes the six-month deferral for eligible sellers, simplifies the required invoice language for SSUT transactions, and allows the department to disclose the names, start dates, and end dates of participating sellers. It also permits or requires reporting of retail sales and customer notifications when a seller does not collect the tax.

Who It Affects

• Local governments (counties and municipalities) would receive monthly distributions of simplified sellers use tax proceeds.
• Eligible sellers participating in the program would experience changes including removal of the six-month deferral, streamlined invoices, and new reporting and disclosure obligations.

Key Provisions

• Adds Section 40-23-197.1 to authorize monthly distributions of simplified sellers use tax proceeds to counties and municipalities.
• Amends Sections 40-2-11, 40-23-191, 40-23-193, and 40-23-195 to implement administration and reporting for the program, including reporting of retail sales and customer notifications when the seller does not collect the tax.
• Removes the six-month deferral requirement for eligible sellers and clarifies eligibility and participation terms.
• Requires simplified invoice language for simplified sellers use tax transactions and allows disclosure of participating eligible sellers' names, start dates, and cease dates.
• Maintains an eight percent simplified use tax rate; prohibits local taxes from stacking on these transactions and limits reporting to statewide totals rather than local breakdowns.
• Requires eligible sellers to collect the eight percent SSUT on eligible purchases delivered into Alabama (with exemptions), retain exemption documents, and provide purchasers with a program-specific receipt.
• Empowers the Department of Revenue to oversee program participation, maintain records, adopt rules, and require seller records upon request; local audits of eligible sellers are restricted.

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