The bill HB51 amends Section 40-23-4 of the Code of Alabama 1975 to introduce a new sales and use tax exemption specifically for hearing instruments, including hearing aids. The legal language added states that the gross proceeds from the sale of these instruments are exempt from sales and use tax, aiming to reduce the financial burden on individuals who require hearing aids. This amendment expands the existing list of exemptions without deleting any current provisions, thereby enhancing tax relief for those in need.

In addition to the hearing aid exemption, the bill also establishes various other sales tax exemptions for items such as agricultural products, marine safety equipment, and certain aviation-related sales. It clarifies that sales of medicines prescribed for individuals aged 65 and older will be exempt from sales tax, provided proof of age is submitted. The bill also refines existing definitions and provisions related to taxable sales, ensuring clarity and compliance, while introducing penalties for violations. The new exemptions are set to take effect on September 1, 2024, with some provisions having specific expiration dates unless renewed by the Legislature.

Statutes affected:
Introduced: 40-23-4
Engrossed: 40-23-4
Enrolled: 40-23-4