SB290 Summary

• Reduces the minimum business privilege tax from $100 to $50 for taxable years beginning after December 31, 2022, for corporations, business trusts, limited liability entities, and disregarded entities.

• Provides full exemption from the business privilege tax for amounts due of $100 or less for taxable years beginning after December 31, 2023, eliminating both the tax and associated filing requirement.

• Exemptions do not apply to entities subject to the tax levy under Section 20-2A-80 (financial institution groups).

• Amends Section 40-14A-22 of the Code of Alabama 1975 and grants the Department of Revenue authority to adopt implementation rules.

• Takes effect on the first day of the third month following passage and approval by the Governor.