Historic Day in Alabama!

Mark it down on your calendar. 

 

October 1, 2014 is a historic day in Alabama.  The Alabama Tax Tribunal is finally here! 

 

Today marks the first time in Alabama history that Alabama taxpayers enjoy the right to appeal a tax assessment to an independent appeals tribunal without having to "pay to play."  That means Alabama taxpayers do not have to pay the tax assessed or obtain a bond before an independent appeals tribunal will consider their case.

 

This historic moment is made possible as a result of the passage of Alabama Act 2014-146 by the Alabama Legislature earlier this year and Governor Robert Bentley's signature of that legislation.

 

The Tax Tribunal's new website can be found here.

 

Taxpayers still have the right to appeal to their local county circuit court, but, as before, to do so they must pay the tax assessment first or obtain a bond in the appropriate amount.

 

Judge William Thompson, Alabama's only Chief Administrative Law Judge for the Department of Revenue, is the first Chief Judge of the Alabama Tax Tribunal.  While there will be minor changes in the court's operations, they are relatively minor.  Judge Thompson issued proposed regulations concerning the operation of the Alabama Tax Tribunal earlier this summer and the comment period for those regulations is now closed.  Final regulations should be issued on or about October 15, 2014.

 

One huge change for Alabama taxpayers is that the Alabama Tax Tribunal is empowered to hear appeals from local tax assessments, as well as state assessments.  In the past, the previous Administrative Law Division was only allowed to hear cases involving state or state-administered local tax assessments.  Under the new law, unless a local jurisdiction opts out of having its appeals heard by the Alabama Tax Tribunal, even self-administered local tax jurisdiction tax appeals can be heard by Judge Thompson.  Unfortunately, as predicted, several local jurisdictions have already made the election to opt-out.  To find a list of those local jurisdictions electing to opt-out, click here.