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AUTOMOTIVE DISMANTLER AND
PARTS RECYCLER LICENSE RENEWAL

Steps Necessary To Become An Automotive Dismantler

Definition:  For the purpose of this Article, a person, firm or corporation shall be presumed to be engaging in the business of an automotive dismantler and parts recycler if such person, firm or corporation shall possess 10 or more inoperable motor vehicles for more than 30 days. This does not include licensed repair businesses holding vehicles awaiting repairs, or licensed junk dealers holding vehicles for the purpose of recycling scrap metal. Further, it does not include any entity which repairs reconstructs or reconditions its own vehicles for its own use or which disposes of a vehicle acquired for its own use.
 
No person, firm, or corporation, unless licensed by the Alabama Department of Revenue, shall engage in the business of an automotive dismantler and parts recycler.
 
A license may be obtained from the Sales, Use & Business Tax Division, Severance & License Section, P.O. Box 327550, Montgomery, AL 36132-7550. To receive the license, applicants must complete an Application For License As An Automotive Dismantler and Parts Recycler for and a Bond of Automotive Dismantler and Parts Recycler form furnished by the Department of Revenue. The surety bond must be in the amount of $10,000 with a dated Power of Attorney attached.
 
Each application for a license as an automotive dismantler and parts recycler must be accompanied by a check or money order covering the $225 application fee and $1 issuing fee. A license year runs from October 1 through September 30 and must be renewed by October 31st of each year. Thereafter, penalties prescribed by law and applicable interest for delinquent licenses shall be imposed. There is no half or part-year license.
 
Every automotive dismantler and parts recycler must keep a register of all purchases and sales of motor vehicles for five years from the date of purchase or sale (Code of Alabama 1975, Section 40-12-419).
 
If you have any questions regarding the steps necessary to become an automotive dismantler, you may contact the Severance & License Section office at (334) 353-7827.

Application Mailing Check List:

  Enclose the completed:

        (1)  Application
        (2)  Surety Bond and Power of Attorney
 
  Check or money order.

NOTE:  If application and/or surety bond are not completed correctly, the forms will be returned to you and no license will be issued until all forms are properly completed and resubmitted to this office.

 
 
Automotive Dismantler & Parts Recycler Page