The Business License Tax Reporting and Appeals Act (SB174) establishes new requirements for counties and municipalities in Alabama that impose business privilege or license taxes. These entities must submit annual reports to the Department of Revenue by March 30, detailing tax classifications, schedules, and any changes made during the year. Failure to comply will result in the escrow of subsequent taxes until compliance is achieved. The bill also allows taxpayers to appeal tax determinations to the Alabama Tax Tribunal, which is granted expanded jurisdiction to include business license or privilege taxes. Additionally, the bill amends Section 40-2B-2 of the Code of Alabama 1975 to clarify the Tribunal's operational independence from the Department of Revenue.

SB174 further modifies the qualifications and procedures for judges of the Alabama Tax Tribunal, allowing the Governor to appoint judges pro tempore under specific qualifications. It outlines the Tribunal's jurisdiction, including provisions for self-administered counties to opt-out of its jurisdiction and the process for revocation of that opt-out. The bill clarifies the appeals process for taxpayers, ensuring they can appeal without prior payment in most cases, and establishes detailed procedures for filing appeals and responses. It also streamlines the Tribunal's operations, including hearing procedures and the authority to enforce discovery orders. The act is set to take effect on October 1, 2025.

Statutes affected:
Introduced: 40-2B-2
Engrossed: 40-2B-2
Enrolled: 40-2B-2