Taxation; Greater Peace Community Corporation, exempt from sales and use tax

Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Gray
Last action: 2026-03-03
Official status: Pending Committee Action in Second House
Effective date: Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Greater Peace Community Corporation Sales Tax Exemption

This bill makes the Greater Peace Community Development Corporation exempt from state and local sales and use taxes.

What This Bill Does

Makes the Greater Peace Community Development Corporation exempt from paying state sales and use taxes.
Allows counties to exempt the corporation from county sales and use taxes.
Permits municipalities to exempt the corporation from municipal sales and use taxes.

Who It Names or Affects

The Greater Peace Community Development Corporation
Counties and municipalities

Terms To Know

Sales tax: A tax charged on the sale of goods or services, usually a percentage of the purchase price.
Use tax: A tax similar to sales tax that applies when items are purchased out-of-state and used in one's home state without paying local sales tax.

Limits and Unknowns

The bill does not specify how the exemption will be enforced or monitored.
It is unclear what specific goods or services this corporation provides to qualify for such an exemption.

Bill History

2026-03-03 House
Motion to Read a Third Time and Pass - Adopted Roll Call 678 (Yeas 103, Nays 0)
2026-03-03 House
Third Reading in House of Origin (Yeas 102, Nays 0)
2026-03-03 Senate
Pending Committee Action in Second House
2026-03-03 Senate
Read for the first time and referred to the Senate Committee on Finance and Taxation Education
2026-02-19 House
Read for the Second Time and placed on the Calendar
2026-02-19 House
Reported Out of Committee House of Origin
2026-02-10 House
Pending Committee Action in House of Origin
2026-02-10 House
Read for the first time and referred to the House Committee on Ways and Means Education

Official Summary Text

Taxation; Greater Peace Community Corporation, exempt from sales and use tax

Current Bill Text

Read the full stored bill text

HB422 INTRODUCED
Page 0
HB422
I37E5ZW-1
By Representative Gray
RFD: Ways and Means Education
First Read: 10-Feb-26
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I37E5ZW-1 01/29/2026 RA (F)RA 2026-581
Page 1
First Read: 10-Feb-26
SYNOPSIS:
This bill would exempt the Greater Peace
Community Development Corporation from payment of state
sales and use taxes.
This bill would also allow municipalities and
counties to exempt this entity from local sales and use
taxes.
A BILL
TO BE ENTITLED
AN ACT
Relating to sales and use taxes; to exempt the Greater
Peace Community Development Corporation from the payment of
state sales and use taxes and to allow municipalities and
counties to exempt this entity from local sales and use taxes.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. (a) The Greater Peace Community Development
Corporation is exempt from paying any state sales and use
taxes.
(b) Any county or municipality may exempt this entity
from payment of county or municipal sales and use taxes in
accordance with Section 40-23-4.01, Code of Alabama 1975.
Section 2. This act shall become effective on September
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HB422 INTRODUCED
Page 2
Section 2. This act shall become effective on September
1, 2026.29