SB128 Alabama 2017 Session

Summary

Primary Sponsor

Tim MelsonSenator

Republican

Session

Regular Session 2017

Title

Tax preparers, required to provide federal identification number on Alabama income tax returns, business privilege tax return date made the same for state and federal returns, the maximum business privilege tax amount for a Real Estate Investment Trust (REIT); the name of the Taxpayer Advocate changed to the Taxpayer Assistance Officer, and allows for multiple Taxpayer Assistance Officers, Secs. 40-14A-22, 40-14A-25 am'd.

Summary

SB128 would require PTINs on Alabama income tax returns, align business privilege tax due dates with federal rules, cap REIT privilege taxes, and rename the Taxpayer Advocate to Taxpayer Assistance Officer with multiple officers.

What This Bill Does

Requires income tax return preparers to include their IRS PTIN on Alabama returns and creates a PTIN-based oversight program with penalties for non-compliance. Aligns the due dates for Alabama business privilege tax returns with federal income tax returns (and aligns financial institution due dates with the Alabama excise tax). Codifies a maximum privilege tax for Real Estate Investment Trusts (REITs) and changes the Taxpayer Advocate's title to Taxpayer Assistance Officer, allowing multiple officers; sets rules and an effective date of January 1, 2018.

Who It Affects

• Income tax return preparers and taxpayers who hire them, who must include PTINs on returns and may face penalties for non-compliance.
• Businesses and financial institutions in Alabama (including REITs), who face updated filing due dates, REIT tax caps, and expanded taxpayer assistance structure.

Key Provisions

• Income tax return preparers must include their IRS Preparer Tax Identification Number (PTIN) on all Alabama income tax returns prepared, with penalties for non-compliance and an oversight program to monitor errors and suspected fraud.
• The Taxpayer Advocate title is changed to Taxpayer Assistance Officer and allows for multiple Taxpayer Assistance Officers; the Department will adopt rules to implement enforcement and coordination, including PTIN information sharing with the IRS and other states.

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