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AL SB107

Bill

Status

Introduced

3/21/2023

Primary Sponsor

Linda Coleman-Madison

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Origin

Senate

Regular Session 2023

AI Summary

SB107 Summary

  • Increases mortgage recording fees from $0.15 to $0.30 per $100 of indebtedness for initial mortgages and open-end/revolving credit instruments.

  • Modifies distribution of mortgage record tax revenues to four recipients: judges of probate receive 5%, Alabama Housing Trust Fund receives 25%, county treasuries receive 33%, and State Treasury receives 37%.

  • Establishes the Alabama Housing Trust Fund as a dedicated revenue source from mortgage recording taxes, replacing the previous two-part distribution between state and counties.

  • Maintains existing procedures for taxation of mortgages, deeds of trust, contracts of conditional sale, and other debt-securing instruments, with penalties for probate judges who fail to collect or certify taxes.

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

Legislative Description

To amend Section 40-22-2, Code of Alabama 1975; to increase the fee for recording of certain mortgages, deeds of trust, contracts of conditional sale, or other instruments of like character which is given to secure the payment of any debt which conveys any real or personal property; and to modify the rate and distribution of the mortgage record tax in order to provide a dedicated revenue for the Alabama Housing Trust Fund.

Mortgages, fee increase for recording of mortgages, deeds of trust, distribution of proceeds to Alabama housing trust fund.

Last Action

Indefinitely Postpone

5/31/2023

Committee Referrals

Finance and Taxation General Fund3/21/2023

Full Bill Text

No bill text available