SB181 Alabama 2024 Session

Summary

Primary Sponsor

Garlan GudgerSenator

Republican

Session

Regular Session 2024

Title

To exempt food pantries in Cullman County from sales and use tax

Summary

SB181 would exempt Cullman County food pantries that meet criteria from paying sales and use taxes on items bought for charitable purposes.

What This Bill Does

The bill would grant an exemption from all state, county, and municipal sales and use taxes on purchases of items used for charitable purposes to qualifying food pantries in Cullman County. To qualify, the pantry must be a 501(c)(3) tax-exempt organization and must not pay salaries or expenses for duties related to its charitable operations. It also defines what qualifies as a 'food pantry' and sets an effective date of October 1, 2024.

Who It Affects

• Food pantries in Cullman County that meet the criteria (501(c)(3) status and no paid salaries/expenses for charitable duties) would be exempt from state, county, and municipal sales and use taxes on purchases for charitable purposes.
• State, county, and municipal tax authorities in Cullman County could see reduced tax revenue from exempt pantry purchases.

Key Provisions

• Defines 'food pantry' as a charitable, nonprofit organization that collects, purchases, or distributes items for charitable purposes without charge.
• Exempts from all state, county, and municipal sales and use taxes the purchases of items used for charitable purposes by Cullman County food pantries that have 501(c)(3) status and do not pay salaries or expenses for duties related to charitable operations.
• Requires the exempt organization to be tax-exempt under Section 501(c)(3) of the Internal Revenue Code and to pay no salary or expenses for duties related to its charitable operations.
• 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