SB395 Summary

• Amends Alabama Code Section 40-26-1 to exempt rooms not intended or suitable for overnight sleeping from transient occupancy tax if charges are separately stated on invoices and the space is used exclusively as a meeting room.

• Exempted uses include conferences, seminars, club meetings, private parties, and similar activities.

• Also exempts such meeting room rentals from amusement tax under Chapter 23 of Title 40.

• Maintains taxability of admissions fees for public events and retail sales of tangible personal property occurring in the exempt meeting spaces.

• Becomes effective on the first day of the third month following passage and approval by the Governor.