The bill introduces the Alabama Tourism Tax Protection Act of 2024, which defines terms such as "accommodations intermediary," "accommodations provider," and "room charge," and establishes that accommodations intermediaries are responsible for collecting and remitting transient occupancy tax. The bill specifies that the tax should be imposed on the full retail price paid by the guest, including any fees, and should be collected for transactions occurring on or after January 1, 2025. It also outlines that accommodations intermediaries must separately state the amount of tax on billing documents and add it to the room charge, making it a debt from the customer to the intermediary.

The bill exempts certain entities from its provisions, including professional property management companies, hotels, destination marketing organizations, and providers of accommodations that collect and remit the tax levied under Section 40-26-1. It also states that for transactions involving a professional property management company, this company shall be the merchant of record. The Department of Revenue is tasked with adopting rules for the implementation and administration of the act, which is set to become effective on October 1, 2024. The bill has passed both the Senate and the House of Representatives, with the final version originating in the Senate.