Amendment vs bill Ways and Means Education Amendment 590J33-1 vs Introduced

Struck = removed from the bill · added = the amendment's new text.

Previous
Latest
HB443 INTRODUCED 755PVE-1 By Representative Garrett RFD:
590J33-1 04/19/2023 SS (L) SS 2023-1660 House Ways and Means Education Reported Substitute for HB443 2 4 A BILL TO BE ENTITLED AN ACT 9 Relating to economic tax incentives;
Ways and Means Education First Read:
09-May-23 2023 Regular Session Page 0 755PVE-1 04/18/2023 SS (F)SS 2023-1604 2 4 SYNOPSIS:
This bill would change the reporting date requirements of state agencies that administer economic tax incentives and establish sunset provisions and reporting guidelines for economic tax incentives.
A BILL TO BE ENTITLED AN ACT Relating to economic tax incentives;
"§40-1-50 (a) For the purpose of this section, the term economic tax incentive shall mean any tax credits, deductions, Page 1 HB443 INTRODUCED exemptions, abatements, preferential rates, or rebates given as an economic incentive.
"§40-1-50 (a) For the purpose of this section, the term economic tax incentive shall mean any tax credits, deductions, exemptions, abatements, preferential rates, or rebates given as an economic incentive.
For the purpose of this section, the term economic incentive shall mean an inducement provided by the government, where the government promises to forgo tax revenues to which it is otherwise entitled or to provide some other benefit to an individual or an entity and in exchange the individual or entity promises to take specific action that contributes to economic development.
For the purpose of this section, the term economic incentive shall mean an inducement provided by the government, where the government promises to forgo tax revenues to which it is otherwise entitled or to provide some other benefit to an individual or an entity and in exchange Page 1 House Ways and Means Education Reported Substitute for HB443 the individual or entity promises to take specific action that contributes to economic development.
Page 2 HB443 INTRODUCED (2) Whether or not the state receives a positive return on investment, specifically the direct and indirect impact on state and local tax revenues, from the business or industry for which the economic tax incentive is intended to benefit and any other economic benefits produced by such tax incentive.
(2) Whether or not the state receives a positive return on investment, specifically the direct and indirect impact on state and local tax revenues, from the business or industry for which the economic tax incentive is intended to benefit and any other economic benefits produced by such tax incentive.
(3) The economic results of each economic tax incentive, taking into account the extent to which the incentive successfully changes business behavior, and the unintended or inadvertent effects, benefits, or harm caused by the economic tax incentive, including whether the economic tax incentive conflicts with other state laws or regulations.
Page 2 House Ways and Means Education Reported Substitute for HB443 (3) The economic results of each economic tax incentive, taking into account the extent to which the incentive successfully changes business behavior, and the unintended or inadvertent effects, benefits, or harm caused by the economic tax incentive, including whether the economic tax incentive conflicts with other state laws or regulations.
(e) For purposes of this section, the term state agency shall mean any office, department, board, commission, institution, or division within the executive branch of state Page 3 HB443 INTRODUCED government, excluding the Alabama Department of Revenue.
(e) For purposes of this section, the term state agency shall mean any office, department, board, commission, institution, or division within the executive branch of state government, excluding the Alabama Department of Revenue.
in cases where more than one agency has rulemaking authority, the report shall be prepared collaboratively.
in cases Page 3 House Ways and Means Education Reported Substitute for HB443 where more than one agency has rulemaking authority, the report shall be prepared collaboratively.
95 (3) Entering into a contract with an entity for purposes of a tax credit.
(3) Entering into a contract with an entity for purposes of a tax credit.
(5) Conducting oversight or substantial administrative functions for an economic tax incentive when the public purpose associated with the economic tax incentive is within the core mission of the agency.
(5) Conducting oversight or substantial administrative functions for an economic tax incentive when the public 95 purpose associated with the economic tax incentive is within the core mission of the agency.
(3) The Department of Revenue shall provide state agencies with any tax information necessary to complete the Page 4 HB443 INTRODUCED required report relating to an economic tax incentive of such agency.
(3) The Department of Revenue shall provide state agencies with any tax information necessary to complete the required report relating to an economic tax incentive of such agency.
(g) The House Ways and Means Committees and the Senate Finance and Taxation Committees referred to in this subsection as committees, shall conduct hearings on the reports every odd-numbered year, to be concluded thirty days before the beginning of the Regular Session of the Legislature.The House Ways and Means Education Committee and the Senate Committee on Finance and Taxation - Education shall conduct joint hearings on the tax expenditure report every odd-numbered year to be concluded by the 10th legislative day of the regular session of the Legislature.
(g) The House Ways and Means Committees and the Senate Finance and Taxation Committees referred to in this subsection as committees, shall conduct hearings on the reports every odd-numbered year, to be concluded thirty days before the Page 4 House Ways and Means Education Reported Substitute for HB443 beginning of the Regular Session of the Legislature.The House Ways and Means Education Committee and the Senate Committee on Finance and Taxation - Education shall conduct joint hearings on the tax expenditure report every odd-numbered year to be concluded by the 10th legislative day of the regular session of the Legislature.
The Coal Production Tax Credit, Article 8, commencing with Section 40-18-220, Chapter 18, of Title 40, Code of Alabama 1975, is repealed effective December 31, 2028, Page 5 HB443 INTRODUCED unless extended by an act of the Legislature prior to that date for no more than five additional years.
The Coal Production Tax Credit, Article 8, commencing with Section 40-18-220, Chapter 18, of Title 40, Code of Alabama 1975, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that date for no more than five additional years.
The Reemployment Act of 2010, Article 10, commencing with Section 40-18-270, Chapter 18, of Title 40, Code of Alabama 1975, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that date for no more than five additional years.
The Reemployment Act of 2010, Article 10, commencing with Section 40-18-270, Chapter 18, of Title 40, Code of Alabama 1975, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that Page 5 House Ways and Means Education Reported Substitute for HB443 date for no more than five additional years.
Prior to the repeal of the incentive, the Department of Commerce shall report to the Legislature beginning in 2023 and annually thereafter, regarding the Page 6 HB443 INTRODUCED entertainment industry incentives, in accordance with Section 40-1-50.
Prior to the repeal of the incentive, the Department of Commerce shall report to the Legislature beginning in 2023 and annually thereafter, regarding the entertainment industry incentives, in accordance with Section 40-1-50.
The Alabama Enterprise Zone Act, Article 2, commencing with Section 41-23-20, Chapter 23, of Title 41, Code of Alabama 1975, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that date for no more than five additional years.
The Alabama Enterprise Zone Act, Article 2, commencing with Section 41-23-20, Chapter 23, of Title 41, Code of Alabama 1975, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that Page 6 House Ways and Means Education Reported Substitute for HB443 date for no more than five additional years.
(a) Beginning in the 2024 Regular Session of the Legislature, all new economic tax incentive legislation shall include the following:
(a) Beginning in the 2024 Regular Session of the Legislature, all new tax credit legislation shall include the following:
Tax credits intended to provide tax relief for Page 7 HB443 INTRODUCED certain businesses or individuals.
Tax credits intended to provide tax relief for certain businesses or individuals.
With respect to any new property tax exemption, the exemption does not apply to taxes levied for collection beginning in the calendar year following the calendar year that is five years from the effective date of the tax credit.
With respect to any new property tax exemption, the exemption does not apply to taxes levied for Page 7 House Ways and Means Education Reported Substitute for HB443 collection beginning in the calendar year following the calendar year that is five years from the effective date of the tax credit.
(3) A statement establishing the annual limit on the amount of credits or incentives that may be provided during any annual period.
(3) A statement establishing the limit on the amount of tax credits that may be provided during any applicable period of the tax credit.
(5) A statement limiting the transfer or sale of credits to only one transaction after filing paperwork and a filing fee with the Department of Revenue.
(5) A statement limiting the transfer or sale of tax.
(b) For tax years beginning after December 31, 2024, taxpayers claiming a new tax credit preference must report the amount of the tax preference claimed by the taxpayer to the Department of Revenue as otherwise required by statute or determined by the department as part of the taxpayer's regular tax reporting responsibilities.
(b) For tax years beginning after December 31, 2024, taxpayers claiming a new tax credit must report the amount of the tax credit claimed by the taxpayer as otherwise required or in accordance with the taxpayer's regular tax reporting duties to the Department of Revenue.
(c) The term tax credit as used in this section shall mean a credit allowed against the amount of tax imposed by Chapter 16, Chapter 18, or Chapter 21 of Title 40.
This act shall become effective on the first day of the third month following its passage and Page 8 HB443 INTRODUCED approval by the Governor, or its otherwise becoming law.
This act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law.
Page 9
Page 8