HB318 Alabama 2020 Session

Summary

Primary Sponsor

Andrew SorrellAuditor

Republican

Session

Regular Session 2020

Title

Virtual currency, exemption from ad valorem taxation provided, Sec. 40-9-1 am'd.

Summary

HB318 would exempt virtual currency from Alabama’s ad valorem (property) taxes.

What This Bill Does

The bill adds virtual currency to the list of properties exempt from ad valorem taxation in Section 40-9-1. It defines virtual currency as a digital representation of value that is not the U.S. dollar or a foreign currency and functions as a unit of account, a store of value, or a medium of exchange. If enacted, individuals and businesses that own virtual currency would not have to pay ad valorem taxes on it, and local tax offices would not assess such currency as taxable property. The exemption becomes effective on the first day of the third month after the bill is passed and approved by the Governor.

Who It Affects

• Individuals and businesses that own virtual currency (they would not owe ad valorem taxes on it)
• County and municipal tax assessors and local governments (they would no longer assess virtual currency for ad valorem tax)

Key Provisions

• Adds 'Virtual Currency' as an exempt category from ad valorem taxation in Section 40-9-1
• Defines virtual currency as a digital representation of value (not U.S. dollars or foreign currency) that functions as a unit of account, store of value, and/or medium of exchange
• Effective date: the first day of the third month after passage and governor's approval

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation