SB110 Alabama 2024 Session

Updated Feb 23, 2026

Notable

Summary

Primary Sponsor: David SessionsSenator
Republican
Session: Regular Session 2024
Title: Relating to ad valorem taxation; to limit the assessed value of certain real property for ad valorem tax purposes, with exceptions.
Summary: SB110 would cap how much real property assessments can increase after county-wide reappraisals, with 3% caps for Class III properties and 5% caps for Class II properties, plus several exemptions.
What This Bill Does
After each county-wide reappraisal, the tax assessor must compare the new assessed value to the prior year and adjust it to fit the applicable cap if it increased. Class III properties would be limited to a 3% increase and Class II properties to a 5% increase from the previous year's assessment. The cap does not apply to additions or improvements (including new construction), properties never assessed, changes in property classification, or certain ownership transfers (such as transfers between spouses or family members for no or nominal consideration, and transfers after foreclosure or tax sale). The law would take effect on October 1, 2024.

Who It Affects
Group 1: Owners of Class II and Class III real property in Alabama, whose annual assessed-value increases would be limited to 5% and 3% respectively after each county-wide reappraisal.
Group 2: Owners of property that would not be limited by the cap, including properties with additions or improvements (including new construction), properties never assessed, changes in classification, and certain transfers of ownership (such as spouse/family transfers for no or nominal consideration, and transfers after foreclosure, tax sale, or tax lien).

Key Provisions
After each county-wide reappraisal, assessors compare the new assessed value to the prior year's value and adjust to comply with the cap if it increased.
Class II properties are capped at a 5% increase in assessed value from the prior year.
Class III properties are capped at a 3% increase in assessed value from the prior year.
Exemptions from the cap include: properties never assessed; additions or improvements (including new construction, but not repairs or maintenance); changes in property classification; and certain ownership transfers (transfers between spouses or family members for no or nominal consideration, and transfers after foreclosure, tax sale, or tax lien).
Effective date: 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