House Bill 534 Alabama 2026 Session

Summary

Primary Sponsor

Margie WilcoxRepresentative

Republican

Session

2026 Regular Session

Title

Mobile County; local privilege tax on historical horse racing, levied

Summary

HB534 would impose an eight percent local privilege tax in Mobile County on net gambling revenue from historical horse racing.

What This Bill Does

If passed, the Mobile County Racing Commission would levy and collect an eight percent tax on the net gambling revenue from pari-mutuel wagering on historical horse racing using computerized machines. Net gambling revenue is defined as the amount received from wagering on historical horse racing, minus certain deductions and exclusions like free bets and promotional credits, but after accounting for exclusions such as federal taxes, voided wagers, and prize winnings. The tax collected would be exclusive of and override other local taxes or fees on these activities, and would not change the tax structure for live greyhound or simulcast racing in Mobile County. The act would become effective October 1, 2026.

Who It Affects

• Historical horse racing licensees in Mobile County would owe 8% of their net gambling revenue to the Mobile County Racing Commission.
• The Mobile County Racing Commission would be responsible for collecting the tax from licensees and distributing it under local law.
• Mobile County residents and the county government could be affected by changes in local tax revenue, as proceeds are distributed per local law.

Key Provisions

• Section 1(a): levies an eight percent tax on net gambling revenue from historical horse racing on computerized machines; collected by the Mobile County Racing Commission and distributed as determined by local law.
• Section 1(b): defines net gambling revenue as total wagering receipts minus free bets, free lays, promotional credits, federal taxes, voided wagers, and prizes/winnings.
• Section 1(c): the local privilege tax is exclusive of and supersedes any other local taxes/fees on historical horse racing pari-mutuel activities, including Section 45-49-151.14.
• Section 1(d): does not change the tax structure for live greyhound racing or simulcast greyhound/thoroughbred racing in Mobile County.
• Section 1(e): does not authorize or expand gambling beyond what is already lawful on the act’s effective date.
• Section 2: the act becomes effective October 1, 2026.

AI-generated summary using openai/gpt-5-nano-2025-08-07 on Mar 3, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Mobile County