HB593 Summary

• Eliminates the current exemption from Alabama automotive sales tax for vehicles registered or titled outside Alabama and exported within 72 hours, unless the destination state allows Alabama residents to purchase vehicles tax-free for first registration there.

• Requires the Alabama Department of Revenue to publish on the state website by October 1, 2015, and annually thereafter, a list of states that do not allow drive-out provisions to Alabama residents.

• Changes taxation of exported vehicles to subject them to Alabama's state automotive sales tax rate rather than the full sales tax, with revenue split 58% to Education Trust Fund and 42% to State General Fund.

• Requires dealers to document exempt sales on Revenue Department-approved forms and provide factual evidence that vehicles were delivered outside Alabama or to a common carrier for out-of-state transportation.

• Effective October 1, 2015, upon passage and Governor approval.