SB181 Alabama 2017 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Vivian Davis FiguresSenator
Democrat
Session: Regular Session 2017
Title: United Way and united appeal funds, tax exemption from all taxes, certain existing funds deemed included, Tax Exemption Reform Act of 2017, Sec. 40-9-12 am'd.
Summary: SB181 would reform Alabama's tax exemption rules for United Way and united appeal funds by clarifying definitions, extending exemptions to in-good-standing funds, and adding a reporting requirement to the Department of Revenue.
What This Bill Does
It defines what counts as a United Way and other united appeal funds, and who qualifies as supported charities and United Way member agencies. It confirms that united appeal funds with an existing Certificate of Exemption in good standing are considered within the definitions. It broadens tax exemptions to the real and personal property of United Way organizations, united appeal funds, their member agencies, and supported charities, from state, county, and municipal taxes, while maintaining rules about charges and services. It also requires annual reporting by United Way organizations to the Department of Revenue, identifying each member agency, and sets up rules for refunds of certain taxes paid by exempt groups.

Who It Affects
United Way organizations in Alabama and their United Way member agencies (and the charities they fund), who gain broader tax exemption for real and personal property and must report annually to the Department of Revenue.
The Department of Revenue, United Way organizations, and the supported charities funded by united appeal funds, who must follow new definitions, maintain exemption certificates, and handle tax refunds for purchases like gasoline and tobacco.

Key Provisions
Defines United Way, united appeal funds, and supported charities; requires exemption status for funds that meet criteria and prohibits de minimis support to any single supported charity.
Extends tax-exempt status to united appeal funds with a valid Certificate of Exemption in good standing, aligning them with the definitions in the act.
Requires United Way organizations to annually list their constituent member agencies to the Department of Revenue, with deadlines set by Department rule.
Affirms that real and personal property of United Way organizations, united appeal funds, and their related bodies are exempt from state, county, and municipal taxes, while still allowing purchase taxes (e.g., gasoline, tobacco) to be paid at sale and refunded by the Department of Revenue.

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