Alabama legislation · 2026 Regular Session
Alabama HB77: Taxation and Revenue; disabled veterans' homestead taxes inclusion in debt-to-income ratio under certain circumstances prohibited
Status: Signed into law, March 17, 2026
What the bill says
An Act, Relating to the Department of Revenue; to provide for certain disabled veterans to be issued tentative certificates of exemption from homestead ad valorem taxes when applying for home mortgage loans; and to prohibit settlement agents and loan closing officers from considering homestead ad valorem taxes when calculating the debt-to-income ratio of these veterans upon receiving a certificate.
From the enrolled text:
An Act, Relating to the Department of Revenue; to provide for certain disabled veterans to be issued tentative certificates of exemption from homestead ad valorem taxes when applying for home mortgage loans; and to prohibit settlement agents and loan closing officers from considering homestead ad valorem taxes when calculating the debt-to-income ratio of these veterans upon receiving a certificate. BE IT ENACTED BY THE LEGISLATURE OF ALABAMA: Section 1. (a) This act shall be known and may be cited as the Disabled Veterans Property Tax Debt-To-Income Ratio Exemption Act. (b) A tax assessing official shall issue a veteran who has received a 100 percent disability rating from the United States Department of Veterans Affairs and who may claim an exemption under Section 40-9-19 or 40-9-21, Code of Alabama 1975, for permanent and total disability, a tentative certificate of permanent and total disability prior to purchasing a homestead upon receiving all of the following: (1) An affidavit, on a form supplied by the Department of Revenue, that includes all of the following information: a. The name of the disabled veteran and the name of his or her spouse, if applicable. b. Whether the homestead will be jointly owned by the disabled veteran and his or her spouse, if applicable. c. An attestation by the veteran that the homestead is Page c. …
Sponsors
- Paschal, Kenneth (R, HD-073) · primary sponsor
- Fidler, Jennifer (R, HD-094)
- Starnes, Jerry (R, HD-088)
- Stubbs, Troy (R, HD-031)
- Smith, Ivan (R, HD-042)
- Brown, Chip (R, HD-105)
- Wadsworth, Tim (R, HD-014)
- Whorton, Ritchie (R, HD-022)
- Fincher, Bob (R, HD-037)
- Bolton, Ron (R, HD-061)
- Rehm, Rick (R, HD-085)
- Lamb, Bill (R, HD-062)
Latest actions
- : Enacted
- : Signature Requested
- : Enrolled
- : Ready to Enroll
- : Motion to Read a Third Time and Pass - Adopted Roll Call 765
- : Third Reading in Second House
- : Read for the Second Time and placed on the Calendar
- : Reported Out of Committee Second House
- : Pending Committee Action in Second House
- : Read for the first time and referred to the Senate Committee on Finance and Taxation General Fund
Votes
- Senate Roll Call #765 (March 10, 2026): 35 yea, 0 nay, passed
- Senate Roll Call #764 (March 10, 2026): 35 yea, 0 nay, passed
- House Roll Call #68 (January 20, 2026): 101 yea, 1 nay, passed
- House Roll Call #67 (January 20, 2026): 99 yea, 0 nay, passed
Subjects: Taxation & Revenue
Common questions
- What is HB77?
- HB77 is a bill in the Alabama Legislature (2026 Regular Session): Taxation and Revenue; disabled veterans' homestead taxes inclusion in debt-to-income ratio under certain circumstances prohibited.
- What does HB77 do?
- In its own words: An Act, Relating to the Department of Revenue; to provide for certain disabled veterans to be issued tentative certificates of exemption from homestead ad valorem taxes when applying for home mortgage loans; and to prohibit settlement agents and loan closing officers from considering homestead ad valorem taxes when calculating the debt-to-income ratio of these veterans upon receiving a certificate.
- What is the status of HB77?
- Signed into law as of March 17, 2026. Latest action: Enacted (March 17, 2026).
- Who sponsored HB77?
- Paschal, Kenneth (R, HD-073), with 11 co-sponsors.
- Where is the official record for HB77?
- On the Alabama Legislature website: https://alison.legislature.state.al.us/instrument/2026RS/HB77
Source: official Alabama record. Tracked by Delilah, AI for legislation across all 50 states and Congress.