SB295 Alabama 2020 Session

Summary

Primary Sponsor

Sam GivhanSenator

Republican

Session

Regular Session 2020

Title

Airport authorities, sales and use tax exemption, issuance of certificate of exemptions by Revenue Dept., Secs. 40-9-14.1, 40-9-60 am'd.

Summary

SB295 would exempt airport authorities from state and local sales and use taxes and integrate them into Alabama's exemption certificate system for tax-exempt government projects.

What This Bill Does

The bill would exempt airport authorities from paying state, county, and municipal sales and use taxes beginning January 1, 2020. It would also add airport authorities to the list of governmental entities eligible to receive certificates of exemption for tax-exempt projects and to the list that must obtain an annual exemption certificate; it would extend the exemption certificate framework to contractors and subcontractors working on those projects, including recordkeeping and reporting requirements plus penalties for misuse.

Who It Affects

• Airport authorities: would no longer pay state, county, or municipal sales and use taxes and would be subject to annual exemption certificate requirements.
• Contractors and subcontractors working on airport-authority projects: could receive exemption certificates for purchasing qualifying building materials and supplies, with necessary bookkeeping, reporting, and penalties for improper use.

Key Provisions

• Exempts airport authorities from state, county, and municipal sales and use taxes starting Jan 1, 2020.
• Amends Sections 40-9-14.1 and 40-9-60 to include airport authorities as governmental entities that may receive exemption certificates for tax-exempt projects and that shall obtain annual exemption certificates, and to establish related administration, reporting, and enforcement provisions.

AI-generated summary using openai/gpt-5-nano on Feb 23, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation