Alabama Streamlined Sales and Use Tax Commission.

Ala. Code tit. 40, ch. 23, art. 6, div. 4

in effect

Ala. Code § 40-23-200 Definitions.

40-23-200. Definitions. For purposes of this division, the following words or phrases shall have the following meanings: (1) AGREEMENT. The Streamlined Sales and Use Tax Agreement. (2) COMMISSION. The Alabama Streamlined Sales and Use Tax Commission created in this division to develop, implement, and administer programs necessary to come into compliance with the provisions of the Streamlined Sales and Use Tax Agreement. (3) COMMISSIONER. The Commissioner of the Department of Revenue. (4) DEPARTMENT. The Department of Revenue. (5) SINGLE ENTITY ADMINISTRATION. A program to provide state-level administration of state and local jurisdiction sales and use tax in compliance with the provisions of the Streamlined Sales and Use Tax Agreement. (6) STREAMLINED SALES AND USE TAX AGREEMENT. The multi-state agreement by that name or any subsequent name the purpose of which is to simplify and modernize sales and use tax administration in member states in order to reduce the burden of tax compliance, as in effect from time to time. (Act 2011-563, p. 1071, §1.)

Ala. Code § 40-23-201 Creation; Composition; Meetings.

40-23-201. Creation; Composition; Meetings. (a) There is hereby established the Alabama Streamlined Sales and Use Tax Commission, created to identify, develop, implement, and administer the procedures and programs the State of Alabama would need to come into compliance with the Streamlined Sales and Use Tax Agreement in the event that federal legislation implementing the agreement or the general concepts of the agreement, which includes a requirement that remote sellers collect and remit sales and use taxes to member states, becomes law. The recommendations of the commission, if ratified by the Legislature pursuant to this division, shall not be implemented until and unless federal legislation adopting the Streamlined Sales and Use Tax Agreement becomes law. (b) The commission shall be composed of 10 members, appointed as follows: (1) Two representatives of municipal government, who shall be municipal employees or officials, appointed by the Alabama League of Municipalities. (2) Two representatives of county government, who shall be county employees or officials, appointed by the Association of County Commissions of Alabama. (3) Four employees of the Department of Revenue appointed by the Commissioner of the Department of Revenue. (4) One representative of the retail community, appointed by the Alabama Retail Association. (5) One representative of the business community, appointed by the Business Council of Alabama. (c) All appointments to the commission shall be made before August 8, 2011, and each member of the commission shall serve at the pleasure of his or her appointing authority. Commission members shall receive no additional compensation for service on the commission, but shall be reimbursed by the State of Alabama for expenses in accordance with state law and travel policy regarding reimbursement for state employees’ travel related to their official work duties. The department shall provide administrative support necessary for the commission to carry out its duties. (d) The commission, in all respects, shall be subject to the Alabama Open Meetings Act, Title 36, Chapter 25A. The organizational meeting of the commission shall take place by September 7, 2011. The commissioner of the department or his or her designee shall call the organizational meeting and serve as chair until the election of a chair as provided in this division. At the organizational meeting, the commission shall elect a chair and vice chair, who shall serve at the pleasure of the commission. The vice chair shall serve as acting chair whenever the chair is unable to preside at a meeting of the commission. A quorum for all meetings of the commission shall consist of seven members. If a quorum is not present at the beginning of any meeting, the members present shall have the authority to establish an alternate meeting date. A minimum of seven affirmative votes of the members of the commission shall be required for approval of any matter considered by the commission. (e) The membership of the commission shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state. (Act 2011-563, p. 1071, §2.)

Ala. Code § 40-23-202 Duties.

40-23-202. Duties. The duties of the commission shall include identification and development of each of the following as necessary for compliance with the Streamlined Sales and Use Tax Agreement: (1) The development of a system for single entity administration of state and local tax collection and distribution. (2) The development of a system designed to provide proper notice of changes in state or local sales and use taxes or rates to taxpayers and the single entity administrator. (3) The development of a system designed to provide proper implementation of changes in state or local sales and use taxes or rates. (4) The development of a system providing for taxpayer audits by persons or entities other than the single entity administrator as authorized by the agreement. (5) The development of a database of all state and local sales and use tax rates. (6) Any other systems, programs, or policies the commission determines are required for compliance with the agreement. (Act 2011-563, p. 1071, §3.)

Ala. Code § 40-23-203 Report; Implementation and Administration of Recommendations.

40-23-203. Report; Implementation and Administration of Recommendations. (a) The commission shall make a preliminary written report of its recommended implementation plan regarding necessary systems and programs within three months of the initial meeting of the commission. The preliminary report approved by the commission shall be distributed for comment to the department, all Alabama counties and municipalities, the Business Council of Alabama, and the Alabama Retail Association. The report shall also be posted on the website of the Department of Revenue at all times during the comment period with information about how persons or entities can provide comment to the commission. Any comments from persons, entities, and organizations shall be submitted in writing to the commission within 45 days of the date distributed and posted. The commission shall review all written comments and make changes to its preliminary report as it deems appropriate. (b) The commission shall make and file with the Legislature a final written report of its recommended implementation and administrative supervision of needed systems, programs, and procedures necessary to bring the state into compliance with the agreement no later than the fifth legislative day of the 2012 Regular Session of the Legislature. The report shall include proposed plans and estimated costs for implementation of the systems identified and developed pursuant to Section 40-23-202. (c) If ratified and approved by the Legislative Council, the recommendations of the commission shall be implemented and administered only in the event that federal legislation adopting the Streamline Sales and Use Tax Agreement or the general concepts of the agreement which include a requirement that remote sellers collect and remit sales and use taxes to member states, becomes law. (Act 2011-563, p. 1071, §4.)

Ala. Code § 40-23-204 Recommended Changes in Existing Tax Laws.

40-23-204. Recommended Changes in Existing Tax Laws. (a) In addition to the duties set out in Section 40-23-202, the commission shall research Alabama’s existing tax laws to identify what changes in existing law will be necessary in order to bring Alabama in compliance with the agreement in the event that federal legislation adopting the agreement becomes law. The commissioner of the department, or his or her designee, shall assist the commission as necessary in carrying out this function, and once the commission’s research is completed, shall assist the commission in drafting legislation proposing the changes it identifies as necessary to bring the state into compliance with the agreement. (b) The commission shall make preliminary recommendations regarding necessary changes in Alabama’s existing tax laws within six months of filing the written report required in subsection (b) of Section 40-23-203. The preliminary recommendations approved by the commission shall be distributed for comment to the department, the Association of County Commissions of Alabama, the Alabama League of Municipalities, the Business Council of Alabama, and the Alabama Retail Association. The report shall also be posted on the website of the department at all times during the comment period with information about how persons or entities can provide comment to the commission. Any comments from persons, entities, and organizations shall be submitted in writing to the commission within 45 days of the date distributed and posted. The commission shall review all written comments and make changes to its preliminary recommendations as it deems appropriate and shall submit a written report of its final recommendations to the Legislature by the third legislative day of the first regular session following the enactment of federal legislation implementing the agreement or the general concepts of the agreement, which includes a requirement that remote sellers collect and remit sales and use taxes to member states, becomes law. (Act 2011-563, p. 1071, §5.)

Ala. Code § 40-23-205 Funding.

40-23-205. Funding. The Legislature shall appropriate such funds from the general funds of the State of Alabama as necessary for the reasonable and necessary expenses of the commission, including the implementation and administration of programs developed pursuant to this division. (Act 2011-563, p. 1071, §6.)

Source: Alabama Legislature (alison.legislature.state.al.us)URL: https://alison.legislature.state.al.us/code-of-alabamaFetched: 10/20/2026