Act 2023-34 provides a tax rebate to companies that have an approved certified tourism destination project that meet the criteria for a qualifying project. The Alabama Tourism Department is the administering agency for certifying the qualifying tourism projects. To qualify for a tax rebate, the applicant must submit an application to the Alabama Tourism Department for approval. Please direct all inquiries regarding the eligibility and qualifications of prospective projects info@tourism.alabama.gov or 334-242-4169.
Provisions of the Sweet Home Alabama Tourism Investment Act:
- An approved company with a certified tourism destination project may receive tax rebates up to $5 million over 10 years per project, with a maximum of $1 million in rebates per calendar year.
- Allows tax rebates on state and local sales, lodging, and rental taxes generated and arising out of the certified tourism destination projects.
- No approved company may receive more than $1 million in tourism rebates in a calendar year.
- The tax rebate program is effective from August 1, 2023, through July 31, 2028, unless extended by legislative action.
Additional provisions include:
- No tax rebate shall be granted to an approved company during a tax year that the approved company is simultaneously receiving any other state tax incentives associated with any individual tourism attraction project.
- Any tax rebate shall be first applied to any outstanding tax obligation of the approved company that is due and payable to the state.
- Tax rebates are transferable to future owners of the qualified tourism destination project.