The Alabama Tourism Tax Protection Act of 2024 establishes new definitions and responsibilities regarding the transient occupancy tax in Alabama. It introduces terms such as "accommodations intermediary," which refers to entities that facilitate lodging transactions and charge fees for their services, and "accommodations provider," which denotes those who directly rent accommodations and are responsible for tax collection. The act mandates that accommodations intermediaries collect and remit the transient occupancy tax on room charges for transactions occurring on or after January 1, 2025. It also specifies that intermediaries must clearly state the tax amount on customer invoices and allows for the possibility of tax remittance to accommodations providers under certain contractual agreements.

Additionally, the act outlines exemptions for specific entities, including professional property management companies that manage long-term leases, hotels that directly collect and remit taxes, and destination marketing organizations funded by these taxes. The act requires both accommodations intermediaries and providers to submit annual reports to the Department of Revenue detailing accommodations rented for more than 14 days, while ensuring that this information remains confidential. The Department of Revenue is tasked with creating rules for the act's implementation, which is set to take effect on October 1, 2024.