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Code of Alabama — Title 40 (Revenue and Taxation)

Ala. Code § 40-1-49

Suspension of Collection When Costs Exceed Amounts Collected

Official textalison.legislature.state.al.us

# (a)

The Department of Revenue, by administrative rule, shall suspend the collection of a tax or fee which it is authorized to collect when the cost of administering the collection of such tax or fee has exceeded the total amount of the tax or fee collected for each of the previous three fiscal years.
Should it be determined that the suspension of a tax or fee collection would result in reduced local revenues, the department shall notify the affected localities prior to filing a notice, pursuant to the Administrative Procedure Act, to promulgate an administrative rule to suspend the tax or fee.

# (b)

Notwithstanding subsection (a), the department shall not suspend the collection of a tax or fee in any of the following cases:

# (1)

If such tax or fee is mandated by federal law or regulation.

# (2)

If discontinuing the collection of such tax or fee would result in reduced federal funding received from the federal government that exceeds the state costs of collecting the tax or fee.

# (3)

If discontinuing the collection of a tax or fee would result in reduced state and local revenues that exceeds the state costs of collecting the tax or fee.

# (4)

If suspending collection of the tax or fee would negatively affect the public health, safety, or welfare.

# (c)

No administrative rule promulgated pursuant to this section shall be applied retroactively.

# (d)

In accordance with Sections 41-22-5.1 and 41-22-5.2, also known as the Red Tape Reduction Act, any rule promulgated pursuant to this section shall be reviewed not less than every five years. Should it be determined that the administrative cost of collecting a tax or fee no longer exceeds the total amount of tax or fee that could be collected, any corresponding rule suspending the collection of the tax or fee shall be repealed by the department.
If such rule is repealed, no tax or fee shall be due for any periods for which the rule was in effect.

Last amended: Act 2014-331, p. 1224, §1.

Source: view the official text

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In this chapter (40 sections)
  1. 40-1-9 · Equalization of Taxation of State and National Banks
  2. 40-1-10 · Duty of Salaried Officers as to Disposition of Fees Collected
  3. 40-1-13 · Defense of Actions Involving Revenue Laws
  4. 40-1-14 · Payment of Court Costs
  5. 40-1-15 · Execution Sufficient Warrant for Levy
  6. 40-1-16 · Copies of Books, Records, Papers, Etc., Admitted in Evidence
  7. 40-1-17 · Judgment on Verdict in Favor of State Against Officers
  8. 40-1-18 · Falsely Returning List of Taxpayer as Sworn To
  9. 40-1-19 · Bank Officer Failing to Make, Swear To, and Deliver Required…
  10. 40-1-20 · Taxing Authorities Acting as Attorney for Taxpayer
  11. 40-1-21 · Access to Books and Records of Revenue Officers
  12. 40-1-22 · Penalty for Officers Who Neglect Duty
  13. 40-1-23 · Liability of Officers for Conversion
  14. 40-1-24 · Duty of Sheriff in Selling Property Under Execution, Etc
  15. 40-1-25 · Dealing in State Securities
  16. 40-1-26 · Falsely and Fraudulently Procuring State Warrants
  17. 40-1-27 · Payment of Taxes by Lienors
  18. 40-1-28 · Impeachment of Officers
  19. 40-1-29 · Form of Notices to Taxpayers
  20. 40-1-30 · Notice Required to Be Given by Registered Mail May Be Given…
  21. 40-1-31 · Distribution of Revenues Collected
  22. 40-1-31.1 · Disposition of Certain Fees
  23. 40-1-31.2 · Elimination of Payments of Less Than Five Dollars to…
  24. 40-1-32.1 · Education Trust Fund Proration Prevention Act
  25. 40-1-35 · Enforcement of Liability for Taxes Imposed by Other States
  26. 40-1-37 · Ratification of Certain Municipal or County Elections as to…
  27. 40-1-38 · Trial Tax
  28. 40-1-39 · Prompt Returns, Reports, Payments, and Settlements
  29. 40-1-40 · Actions Against Officers
  30. 40-1-41 · Correction of Settlements of Assessors
  31. 40-1-42 · Overpayments into State Treasury
  32. 40-1-43 · Misuse of Federal Tax Returns or Information Therefrom by…
  33. 40-1-44 · Interest on Delinquent Taxes and Overpayments
  34. 40-1-45 · Timely Mailing Treated as Timely Filing and Paying
  35. 40-1-46 · Payment to Certain Certified Appraisers, Mappers, or Tax…
  36. 40-1-47 · Investment of Ad Valorem Taxes
  37. 40-1-48 · Investment of Ad Valorem Taxes - Use of Special Funds
  38. 40-1-49 · Suspension of Collection When Costs Exceed Amounts Collected
  39. 40-1-50 · Reporting Requirements of State Agencies Administering…
  40. 40-1-51 · Requirements for Tax Credit Legislation; Taxpayer Reporting…
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