Under existing law, a licensed contractor is required to be issued a certificate of exemption from sales and use taxes by the Department of Revenue for the purchase of construction materials and supplies to be used in a construction contract for a governmental entity when the governmental entity is exempt from the payment of sales and use tax. Any contracts for the construction of a highway, road, or bridge is not included in the type of contracts for which a contractor is required to be granted a certificate of exemption under this law.
This bill would include any contract for the construction of a highway, road, or bridge entered into on or after January 1, 2022 in the contracts required to be granted a certificate of exemption from sales and use tax for the purchase of construction materials when the contract is for a governmental entity which is tax exempt.
Forwarded to Governor at 2:07 p.m. on April 29, 2021.
Assigned Act No. 2021-372.
Clerk of the House Certification
Signature Requested
Enrolled
Passed Second House
Motion to Read a Third Time and Pass adopted Roll Call 1227
Third Reading Passed
Read for the second time and placed on the calendar
Read for the first time and referred to the Senate committee on Finance and Taxation Education
Motion to Read a Third Time and Pass adopted Roll Call 376
Third Reading Passed
Read for the second time and placed on the calendar
Read for the first time and referred to the House of Representatives committee on Ways and Means Education
Source: Alabama Legislature