SB45 Alabama 2022 Session

Summary

Primary Sponsor

Clyde ChamblissSenator

Republican

Session

Regular Session 2022

Title

Income tax, historic structures, qualified rehabilitation, tax credits extended to 2027, residential structures disqualified, admin. by Historical Commission, Sec. 40-9F-36 am'd.

Summary

SB45 preserves and extends Alabama's historic rehabilitation tax credits through 2027, protects pre-existing allocations (including residential structures), and applies retroactively to May 14, 2021.

What This Bill Does

The bill ensures tax allocation reservations for certified historic rehabilitation projects aren’t lost when new rules were enacted, and it extends the credit program through 2027. It also clarifies that credits reserved before December 31, 2027 can still be used even if the project isn’t placed in service until after that date. Additionally, it protects certain pre-May 14, 2021 applications on the ranking list to receive credits when available, and it makes these changes retroactive to May 14, 2021, with immediate effect after governor approval.

Who It Affects

• Owners of qualified historic residential structures who have tax allocation reservations or reserved credits, who will not be excluded from receiving credits previously reserved and may keep eligibility if reserved before 2027.
• Applicants with active applications on the Historic Tax Credit ranking list or with reserved tax allocations prior to May 14, 2021, who will remain on the list or in reservation status and receive credits when they become available (including years after 2022).

Key Provisions

• For residential historic structures, tax allocation reservations shall not be excluded from receiving credits reserved prior to enactment of Act 2021-431; retroactive effect.
• Credits for substantial rehabilitation of qualified structures shall not be available to owners who submit an application after December 31, 2027.
• If an allocation is reserved for a qualified structure on or before December 31, 2027, credits can still be allocated even if the project is placed in service after that date.
• Applications received in active status on the ranking list or with a reservation prior to May 14, 2021 shall remain on the list or in reservation status and will receive a credit allocation when additional credits become available, including in years after 2022.
• Section 2 makes the act retroactive to May 14, 2021 and effective immediately after 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