SB333 Summary

• Defines "unitary business" as a single economic enterprise made up of separate parts or commonly controlled entities that are sufficiently interdependent, integrated, and interrelated to provide synergy and mutual benefit.

• Requires Alabama taxpayers that are part of a unitary business consisting of multiple business entities to use a combined report to determine Alabama taxable income, with the combined report including all members doing business in the United States or non-U.S. tax haven jurisdictions.

• Limits the domestic production activities deduction to 3 percent of qualified production activities income or taxable income, whichever is less, for taxable years beginning on or after January 1, 2012.

• Limits the bonus depreciation deduction to 50 percent of the adjusted basis of qualified property for taxable years beginning on or after January 1, 2012, reversing the federal temporary increase to 100 percent.

• Becomes effective immediately upon passage and approval by the Governor.