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AL SB128

Bill

Status

Engrossed

3/9/2017

Primary Sponsor

Tim Melson

Click for details

Origin

Senate

Regular Session 2017

AI Summary

SB128 Summary

  • Requires tax preparers to include their IRS-issued Preparer Tax Identification Number (PTIN) on all Alabama income tax returns prepared for compensation, effective for taxable years beginning January 1, 2018.

  • Establishes civil penalties of $50 per offense (maximum $25,000 per calendar year) for tax preparers who fail to provide their PTIN, with exceptions for reasonable cause and no willful neglect.

  • Aligns business privilege tax return due dates with corresponding federal income tax return dates; for financial institutions, due dates correspond with Alabama excise tax return dates.

  • Codifies the maximum business privilege tax for Real Estate Investment Trusts (REITs) at $500,000 per taxpayer per year and caps for other taxpayers ranging from $15,000 to $3,000,000 depending on entity type.

  • Changes the title of "Taxpayer Advocate" to "Taxpayer Assistance Officer" throughout Title 40, Chapter 2A, and allows for multiple officers to serve in this capacity.

Legislative Description

Tax preparers, required to provide federal identification number on Alabama income tax returns, business privilege tax return date made the same for state and federal returns, the maximum business privilege tax amount for a Real Estate Investment Trust (REIT); the name of the Taxpayer Advocate changed to the Taxpayer Assistance Officer, and allows for multiple Taxpayer Assistance Officers, Secs. 40-14A-22, 40-14A-25 am'd.

Taxation

Last Action

Pending third reading on day 16 Favorable from State Government

4/6/2017

Committee Referrals

State Government3/9/2017
Fiscal Responsibility and Economic Development2/9/2017

Full Bill Text

No bill text available