Under existing law, the Tax Incentive Reform Act of 1992 provides for an abatement of noneducational ad valorem taxes and construction related transaction taxes with respect to certain private use industrial property and tangible personal property and taxable services incorporated into a private use industrial property. This bill unabates a portion of state noneducational ad valorem taxes and state abated construction related transaction taxes pursuant to abatements granted on or after June 1, 2026, and requires the local tax collecting official and the Department of Revenue to collect the unabated portion and deposit the revenue into the Alabama Development Fund created herein. This bill also requires the Department of Revenue to share information regarding the collection and performance of the tax abatements with the Department of Commerce.

Statutes affected:
Introduced: 40-9B-4, 40-9G-2