AL HB399

Limits the maximum tax abatement period for data processing centers to 20 years for abatements granted on or after January 1, 2027, eliminating the previous 30-year option for centers with over $400 million in capital investment

Requires large data processing centers with 100 megawatts or greater peak demand to pay state noneducational ad valorem taxes and state sales/use taxes on building materials, fixtures, structural components, power infrastructure, backup generators, and battery systems beginning January 1, 2027

Allows Governor to waive the new state construction tax limitations for data centers located in "targeted counties" (economically distressed areas defined in Section 40-18-376.1)

Extends the sunset date for data processing center tax abatement incentives from July 31, 2028 to July 31, 2032

Directs construction-related sales taxes collected from large data centers under the new provisions to the State General Fund rather than the Education Trust Fund