House Bill 286 Alabama 2026 Session

Summary

Primary Sponsor

Danny CrawfordRepresentative

Republican

Session

2026 Regular Session

Title

Taxation; Energy use in broadcast stations, exempt from utility gross receipts and utility service use tax

Summary

HB286 would exempt energy and connectivity services used by Alabama radio and television broadcast stations from the utility gross receipts tax and the utility service use tax, effective September 1, 2026.

What This Bill Does

It removes the taxation on the use or purchase of electricity, natural gas, telephone services, and other connectivity services when they are used by FCC-licensed broadcast stations in Alabama. The bill amends Sections 40-21-83 and 40-21-103 to codify these exemptions and to define what counts as 'telephone services or other connective services' for broadcast purposes. It covers equipment and services used to prepare and distribute programming, such as transmitters, studio equipment, computers, and power supplies, within broadcasting operations.

Who It Affects

• Alabama radio and television broadcast stations, which would no longer pay utility gross receipts tax or utility service use tax on energy/connectivity services used for broadcasting.
• Utilities and telecommunications providers selling those services to broadcasters, and the state's tax revenue, which would see less tax collected from these transactions.

Key Provisions

• Excludes the use or purchase of electricity, natural gas, or telephone services, and other connectivity services used by FCC-licensed radio/TV broadcast stations from the utility gross receipts tax.
• Excludes the same energy/connectivity services used by broadcast stations from the utility service use tax.
• Defines 'telephone services or other connective services' to include broadcast-related equipment and services (transmitters, studio equipment, computers, power supplies, generators, standby power supplies, attenuators, converters).
• Amends Sections 40-21-83 and 40-21-103, Code of Alabama 1975, to implement the exemptions and codify their scope, with an effective date of September 1, 2026.

AI-generated summary using openai/gpt-5-nano on Feb 12, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation & Revenue