WeVote
Log In

Bill

Bill

HB 658

Macon County; local privilege tax on pari-mutuel activities, established

2026 Regular Session Introduced by Pebblin Warren

Macon County would levy an 8% local privilege tax on net gambling revenue from historical horse racing pari-mutuel machines at a licensed track.

Reported Out of Committee House of Origin
#maconcounty
0
WeVote Research Nonpartisan
Bill Summary · HB 658

Bill Overview

  • Bill: HB 658
  • Session: 2026 Regular Session (Alabama)
  • Jurisdiction: Macon County, Alabama
  • Title: Macon County; local privilege tax on pari-mutuel activities, established
  • Sponsor: Representative Warren (N & P); Co-sponsor: Pebblin Warren
  • Introduced: 31-Mar-2026

Primary Purpose

The bill would establish a local privilege tax in Macon County on net gambling revenue collected from pari-mutuel wagering on historical horse racing conducted on computerized machines at a licensed race track. The tax is to be collected by the Macon County Racing Commission and distributed as provided by local law.

Key Provisions

  • Tax Rate and Scope
    • Imposes an eight percent (8%) local privilege tax on net gambling revenue from pari-mutuel wagering on historical horse racing via computerized machines at a race track licensee in Macon County.
  • Definition of Net Gambling Revenue
    • “Net gambling revenue” means the total amount of money or value received from pari-mutuel wagering on historical horse racing in Macon County, minus:
    • federal excise taxes
    • voided wagers
    • prizes or winnings paid
    • exclusions include free bets, free plays, and promotional credits
  • Administration and Distribution
    • The Macon County Racing Commission is responsible for collecting the tax from each historical horse racing licensee.
    • Collected funds are distributed in accordance with local law.
  • Supersession of Other Local Taxes
    • The local privilege tax is exclusive of and supersedes any other local taxes, fees, or commissions currently imposed on historical horse racing pari-mutuel activities in Macon County (e.g., taxes under Section 45-44-150.12, Code of Alabama 1975).
  • Preserved Exclusions and Existing Tax Structure
    • The bill does not change the existing tax structure for live greyhound and thoroughbred racing, including simulcast activities in Macon County that are not historical horse racing.
  • Constitutional/Legal Limits
    • Nothing in the bill would authorize, permit, or expand gambling beyond what is legally permitted on the act’s effective date.
  • Effective Date
    • The act would become effective on the first day of the second month following its passage and approval by the Governor, or otherwise becoming law.

Affected Parties

  • Primary: Macon County residents and the Macon County Racing Commission (collector and administrator of the tax).
  • Historical Horse Racing Licensees: Operators of computerized historical horse racing machines within Macon County, who would pay the 8% tax on net gambling revenue.
  • Local Government: Macon County would receive and distribute tax revenue, subject to local distribution rules.

Procedural and Timeline Highlights

  • Legislative path:
    • First Read: 31-Mar-26
    • Referred to House Committee on Local Legislation; later actions include second reading and committee action as of early April 2026.
  • Effective date:
    • Set to become law on the first day of the second month after enactment and governor’s approval, or upon other lawfully becoming operative.

Potential Impacts and Considerations

  • Revenue: Introduces a new revenue stream for Macon County from eight percent of net revenue from historical horse racing activities.
  • Industry Impact: Establishes a local tax framework distinct from, and superseding, existing local taxes on historical horse racing for Macon County; operators may need to adjust compliance and reporting to the Macon County Racing Commission.
  • Regulatory Scope: Maintains existing tax frameworks for non-historical live racing activities (greyhound and thoroughbred) and changes only the historical horse racing pari-mutuel tax structure within the county.
  • Legal Constraint: Keeps within the legality of gambling activities as permitted by law at the time of enactment.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.