SB165 Alabama 2022 Session

Updated Feb 26, 2026

Low Interest

Summary

Primary Sponsor: Tom Whatley
Republican
Session: Regular Session 2022
Title: Taxation, exempts from rental, sales and use taxes, the gross proceeds from the sale or lease of detection dogs, Secs. 40-12-223, 40-23-4 am'd.
Summary: SB165 would exempt the gross proceeds from the sale or lease of detection dogs from Alabama rental, sales, and use taxes.
What This Bill Does
The bill adds tax exemptions for detection dogs in two places: it exempts the gross proceeds from leasing or renting detection dogs (40-12-223) and the gross receipts from selling detection dogs (40-23-4). It defines what a detection dog is and requires the exemption to apply only when the transaction is with a certified detection dog trainer or a company employing certified trainers. It becomes effective on the first day of the third month after passage and governor approval.

Who It Affects
Certified detection dog trainers or companies employing certified detection dog trainers, whose gross receipts from selling or leasing detection dogs would be exempt from rental, sales, and use taxes.
Individuals or organizations purchasing or leasing detection dogs from certified trainers or companies, who would no longer pay sales tax on those transactions.

Key Provisions
Exempts the gross proceeds from leasing or rental of detection dogs from rental, sales, and use taxes (40-12-223, added item related to detection dogs).
Exempts the gross receipts from the sale of detection dogs from sales taxes (40-23-4, added item related to detection dogs).
Defines 'detection dog' as a dog trained to detect weapons, explosives, drugs, accelerants, wildlife, currency, viruses, bed bugs, contraband electronics, and similar items.
Requires that the exemption apply to transactions involving a certified detection dog trainer or a company employing certified detection dog trainers.
Effective date: the first day of the third month following passage and governor 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