SB416 Alabama 2017 Session

Updated Feb 27, 2026

Low Interest

Summary

Primary Sponsor: Paul Bussman
Republican
Session: Regular Session 2017
Title: Pharmaceutical Services Providers, may petition Dept. of Revenue for direct refund of overpayment of supplemental privilege tax, Sec. 40-26B-9 am'd.
Summary: The bill lets Alabama pharmaceutical service providers receive refunds of unused supplemental privilege tax credits after October 1, 2019, upon petition to the Department of Revenue.
What This Bill Does
Allows the Department of Revenue to refund any remaining unused credit from the supplemental privilege tax on pharmaceutical services to a provider who petitions for it after October 1, 2019. Maintains the existing system where credits are issued as credits against future taxes and, starting October 1, 2016, monthly credits are issued until the credit is fully used. Requires the department to establish procedures for implementing the refund process, and refunds are issued without interest. The act becomes effective immediately after passage and approval.

Who It Affects
Pharmaceutical service providers (pharmacies and related providers) that collected and remitted the supplemental privilege tax and have unused credit after October 1, 2019, who may petition for a refund of the remaining credit.
Alabama Department of Revenue, which will process refunds, implement the refund procedures, and oversee the petition process.

Key Provisions
Amends Section 40-26B-9 to authorize refunds of unused supplemental privilege tax credits after October 1, 2019 upon petition by the eligible provider.
Notes existing credits are handled as credits against future taxes, with monthly credits beginning October 1, 2016 until the credit is fully used.
Refunds under the new provision are issued without interest, and the Department of Revenue will establish procedures to implement the refund process.
The act becomes effective immediately following its passage and approval by the Governor (or otherwise becoming law).

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Pharmacies and Pharmacists