HB431

Injection wells; fees assessed on certain wells, notice and participation for local governments provided, study commission established

Chamber Passed·3/19/26

Alabama HB431 levies a tax on carbon dioxide storage wells and distributes the tax revenue between the state and local governments.

Alabama HB431 introduces a tax on carbon dioxide storage wells, defined as any well or underground space used for injecting or storing carbon dioxide. The tax rate is based on the gross value of the stored carbon dioxide and is remitted monthly to the Department of Revenue. Half of the collected tax revenue is deposited into the State General Fund, while the other half is allocated to the county where the carbon dioxide was stored, and further distributed to municipalities within that county. The bill also allows the department to adopt rules for administering this tax.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Last
Passed the House · 94–4 · Mar 19
Current
Finance and Taxation General Fund Committee
Next
Senate floor vote

Sponsors

0
1
R
Democratic CaucusRepublican Caucus

Roll Call Votes

61 Yea

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10 Nay

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31 Not Voting

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3 Absent

RRD

Calendar

Mar 11

2:00 PM

House Ways and Means General Fund Hearing

Mar 4

1:30 PM

House Ways and Means General Fund Hearing

History

Mar 31

Senate

Read for the first time and referred to the Senate Committee on Finance and Taxation General Fund

Mar 31

Senate

Pending Senate Finance and Taxation General Fund

Mar 19

House

Third Reading in House of Origin