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AL HB263

Bill

Status

Passed

4/13/2017

Primary Sponsor

Ken Johnson

Click for details

Origin

House of Representatives

Regular Session 2017

AI Summary

  • Amends Section 40-16-4 of the Alabama Code to require inclusion of loans and credit card receivables as part of the property factor in the financial institution excise tax apportionment formula.

  • Requires that loans and credit card receivables be sourced to Alabama using the same sourcing methods applied to interest receipts from those same loans and receivables.

  • Effective for all tax years beginning on or after January 1, 2017.

  • Directs the Department of Revenue to promulgate implementing rules within 120 days of the act's effective date in accordance with the Alabama Administrative Procedures Act.

  • Includes a sunset provision allowing the Department of Revenue to modify rules by December 31, 2030 if a majority of states (including two states bordering Alabama) exclude loans and credit card receivables from their property definitions.

Legislative Description

Taxation, financial institutions excise tax, formula for apportioning income from business activity inside and outside state, loans and credit cards receivables included as property in this state, Sec. 40-16-4 am'd.

Taxation

Last Action

Delivered to Governor at 9;40 a.m. on April 13, 2017.

4/13/2017

Committee Referrals

Banking and Insurance3/15/2017
Financial Services2/16/2017

Full Bill Text

No bill text available