AL HB451

Eliminates the requirement that financial institutions' allocation and apportionment formulas for income tax purposes be substantially the same as those recommended by the Multistate Tax Commission.

Allows the Department of Revenue to prescribe its own regulations for how financial institutions allocate and apportion net income when they have taxable business activity both inside and outside Alabama.

Maintains the 6.5% excise tax rate on financial institutions' net income and existing reporting requirements to the Department of Revenue.

Preserves the Department of Revenue's authority to determine correct tax amounts when they differ from taxpayer returns or when no return is filed.

Takes effect immediately upon passage and approval by the Governor.