"The nine most terrifying words in the
English language are: “I'm from the
government and I'm here to help.'"
--President Ronald Reagan
Alabama Department of Revenue – Commissioner Julie P. Magee
ADOR is responsible for more than 50 different taxes
but just a few really make up the bulk of our
For fiscal year ending 2010, ADOR
reported total revenue collections
of $8,197,088,600.95.
For the fiscal year ending 2014,
total collections were
$9,402,559,270.47, an increase of
$1,205,470,669.52 or 14.7%.
While none of these yearly increases
are large, we are proud to say that
each year, over the past four years;
we’ve grown total collections from the
prior year anywhere from two to five
Two to five percent growth rate in each of the
past four years helps fund the General Fund
but mainly the Education Trust Fund.
Optional Personal
Property Assessment
Requires the Department of Revenue to
develop and implement a state portal
through which taxpayers may file their
yearly Business Personal Property Return
with the appropriate county
Implementation of the state
portal must be ready by October
1, 2016
County tax assessing and tax
collecting officials will not be
prevented from providing an
electronic system for the filing of
applicable business personal
property tax returns
County tax assessing and tax
collecting officials will not be
prevented from enforcing
mandatory electronic filing of a
business personal property tax
return pursuant to a local act of
the Legislature
Act 2014-415 (HB 108)
Optional Non-Itemized Short Form for Filing Business
Personal Property Tax Return
 Provides for an optional non-itemized short form for
certain taxpayers to file their taxable personal
property each year; requires the creation of a
state portal that taxpayers may use to
electronically file their Business Personal Property
Return with any county in the state
 Short form allows taxpayers who own taxable
tangible personal property that has a total
acquisition cost of less than $10,000 to file the
short form in place of filing an itemized listing of
their assets
 Provides provisions for the audit of any short
form account and penalties for falsely filing the
short form when it is determined that the assets
actually had a total acquisition cost greater
than $10,000
Act 2014-321 (HB 82)
Allows All Alabama Municipalities and Counties to
Offset State Individual Income Tax Refunds for
Debts Owed Resulting from Any Administrative or
judicial Proceeding
Some may not actually receive
a state income tax refund
because we will be sending it to
you. Seriously.
The County Association will manage the program.
Allows all municipalities and counties in Alabama
to offset state individual income tax refunds for
debts owed to them as a result of any
administrative or judicial proceeding
 A county or municipality may submit a
debt of at least $25 owed to it for
collection; a county or municipality must
submit the debt to the Department of
Revenue through the Association of
County Commissions of Alabama or an
entity established through the Association
of County Commissions of Alabama, or
the Alabama League of Municipalities or
an entity established through the
Alabama League of Municipalities t
 The organization that submits a debt on
behalf of any county or municipality may
assess a fee of $25 for submitting the debt.
Effective Date: July 1, 2014
It’s Important to Update Your Forms!
Act 2014-430 (SB 312)
Applicants for Certain Licenses Required to Submit FEIN or SSN
Requires an applicant for a license issued by the Department of
Revenue/County to provide their federal tax identification number (FEIN) or
Social Security number (SSN) when applying for a new license or renewing a
license pursuant to Articles 2, 6, 8 and 9 of Chapter 12, Title 40;
Licenses affected by this bill are new licenses and renewals of business
privilege licenses, store licenses, regulatory dealer and automotive
dismantler licenses; county licensing officials must transmit business privilege
license application information for new licenses and renewals electronically
to the Department of Revenue.
Preparing for the upcoming session
Preparing for 2015
 ADOR is working with the Administration and many
legislators by providing a long laundry list of revenue raising
 It is too soon to know which of these they will consider.
 There is so much ear-marking in our history that even with
our increased collections, the General Fund will be in
serious trouble.
 No one wants their Ox gored. The final solutions will likely be
those that affect the smallest population but raise the most
 We model many alternatives using actual Alabama
Income Tax returns so we have the means to provide good
estimates for any possible scenario.
In Conclusion
Currently, the Department utilizes micro-simulation tax
modeling software to make projections regarding tax
changes involving income tax, sales tax and business
privilege tax. This information is relied upon by the
Legislative Fiscal Office (who places fiscal notes on
bills) and the Governor’s Executive Budget Office.
 The Department is expanding its’ micro-simulation
tax modeling software to include property taxes so
that more accurate and timely projections
regarding proposed changes in property tax laws
can be made. The Department is in the process of
notifying the property tax officials in each county
and requesting that they make available their
property tax data for use in this tax modeling
system. We are requesting that all data be
delivered by no later than January 31, 2015, so that
it can be properly loaded and tested prior to the
2015 legislative session.
Any Questions?
Thank You!