The Legislature has passed and the Governor has signed Act No. 2001-975. The purpose of this legislation is to promote and develop the film industry in Alabama by adding sales, use, and lodgings tax exemptions. This act adds a sales and use tax exemption for a company who is actively engaged in the production of an approved project authorized by the Alabama Film Office and meets the criteria established by the Alabama Film Office.

This act also changes the lodgings tax exemption for rooms, lodgings, or accommodations supplied for a period of 30 continuous days or more in any place to 180 continuous days or more in any place. It further amends Section 40-26-1, Code of Alabama 1975, to add an exemption for accommodations that are provided in connection with the production of an approved Alabama film project authorized by the Alabama Film Office.

Act No. 2001-975 becomes effective on December 1, 2001. However, the provisions of this act granting exemption from sales, use, and lodgings taxes to film production companies approved by the Alabama Film Commission shall terminate on September 30, 2005, unless continued by an act of the Legislature.

Notices to Taxpayers