HB124 Alabama 2024 Session

Summary

Primary Sponsor

Danny CrawfordRepresentative

Republican

Session

Regular Session 2024

Title

Taxation, exemption for agricultural fencing

Summary

HB124 would exempt the gross proceeds from selling agricultural fencing materials from Alabama's sales tax, effective October 1, 2024.

What This Bill Does

The bill removes the state sales tax from the gross proceeds of sales of fencing materials used for agricultural livestock. It lists examples like t-posts, wood posts, barbed wire, net wire, smooth wire, and standard metal gates. It ties the exemption to the existing sales tax exemption framework in Section 40-23-2 of the Alabama Code and sets an effective date of October 1, 2024.

Who It Affects

• Farmers and ranchers who purchase fencing materials for agricultural livestock use would not pay state sales tax on those purchases.
• Retailers and suppliers of fencing materials would not collect state sales tax on those sales, aligning pricing and tax collection with the exemption.

Key Provisions

• Exempts the gross proceeds from the sale of fencing materials used for agricultural livestock purposes (e.g., t-posts, wood posts, barbed wire, net wire, smooth wire, standard metal gates, and similar materials) from the state sales tax, as provided in Section 40-23-2 of the Code.
• Establishes the exemption to take effect on October 1, 2024.

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 & Revenue