HB171 Alabama 2024 Session

Updated Feb 23, 2026

Notable

Summary

Primary Sponsor: Chris SellsRepresentative
Republican
Session: Regular Session 2024
Title: Taxation, certain aircraft exempt from ad valorem taxation
Summary: HB171 would exempt certain aircraft from Alabama ad valorem taxes, including hub-based air carrier aircraft and older civil aircraft owned by people 65 and older, with an effective date in 2024.
What This Bill Does
The bill amends Section 40-9-1 to add aircraft-related exemptions from ad valorem taxation. It specifies that aircraft, replacement parts, and ground support equipment used by certificated or licensed air carriers with a hub operation in Alabama can be tax-exempt if the operation meets defined activity criteria. It also creates an exemption for civil aircraft over 30 years old owned by individuals 65 or older (or where the principal owner is 65+), and it sets the effective date of October 1, 2024.

Who It Affects
Certificated or licensed air carriers operating hub-based operations in Alabama and their aircraft, replacement parts, components, systems, supplies, and related ground equipment.
Individuals aged 65 or older (or the principal owner who is 65+ with ownership of civil aircraft over 30 years old) whose aircraft would become tax-exempt under the new provision.

Key Provisions
Adds an exemption from ad valorem taxation for aircraft and related items used by certificated or licensed air carriers with a hub operation within Alabama, including ground support equipment and vehicles used by or for the aircraft.
Defines a 'hub operation' using specific criteria such as flight departures, destinations, weekly frequency, and months of operation to qualify for the exemption.
Grants an exemption for civil aircraft over 30 years old owned by individuals 65 or older (or whose principal owner is 65+).
Establishes an effective date of October 1, 2024 for the new exemptions.

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