SB235 Alabama 2017 Session

Summary

Primary Sponsor

Cam Ward

Republican

Session

Regular Session 2017

Title

Sales and use tax, exemptions under sales tax and use tax standardized, sales of photographs and commissioned portraits exempt as a service, Secs. 40-23-4, 40-23-62 am'd.

Summary

SB235 standardizes Alabama's sales and use tax exemptions, exempts photographers' services from sales tax while taxing photo sales, and applies these changes retroactively with immediate effect.

What This Bill Does

The bill standardizes exemptions between sales tax and use tax to create uniform rules, and moves or aligns certain exemptions into the use tax framework. It specifically exempts the gross proceeds of services provided by photographers or commissioned portrait artists from sales tax, while the sale of photographs or commissioned portraits remains taxable if not incidental to the service. It applies retroactively to open tax years for which assessments could be made, but provides no refunds for periods before the act's effective date, and it becomes effective immediately after passage.

Who It Affects

• Photographers and commissioned portrait artists: their services would be exempt from sales tax.
• Consumers who purchase photographs or commissioned portraits: services may be exempt, but the sale of photographs or portraits not incidental to the service would still be taxable.

Key Provisions

• Amends 40-23-4 to exempt the gross proceeds from services provided by photographers and commissioned portrait artists from sales tax; but sales of photographs or portraits not incidental to the service remain taxable.
• Amends 40-23-62 to standardize and shift certain exemptions to align use tax with sales tax exemptions as part of overall uniformity.
• Provides retroactive application to all open tax years and periods eligible for assessment, with no refunds for periods prior to the act's effective date.
• Effective date is immediate upon passage and approval by the Governor.

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