HB11 Summary

• Establishes an income tax credit for in-state automobile manufacturers (NAICS codes 3361 and 3362) and aviation manufacturers (NAICS code 336411) equal to the cost of purchasing tires manufactured in Alabama used in vehicle or aircraft production.

• Limits the tax credit to a maximum of $5,000,000 per year with no refunds allowed if taxes owed are less than the credit amount and credits are not transferable.

• Effective for the 2020 through 2025 taxable years, with continuation beyond 2025 requiring legislative extension.

• Directs the Alabama Department of Revenue to promulgate rules for administering and implementing the tax credit.

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