Why It Matters: Outdoor sporting goods tax holidays offer sportsmen and women an opportunity to purchase the equipment they need tax-free, while at the same time benefiting conservation programs through increasing sales of firearms, ammunition, and other items that are subject to federal excise taxes.
Highlights:
- On January 29, HB 360 was introduced by Alabama Legislative Sportsmen’s Caucus (Caucus) Member Chris Sells and co-sponsored by Caucus Co-Chair Representative Danny Crawford. HB 360 would create a 2nd Amendment Sales Tax Holiday to occur annually on the last weekend in August, during which the gross proceeds from the sale of ammunition, firearms, and hunting supplies are exempt from state sales and use tax.
- On February 17, the Congressional Sportsmen’s Foundation (CSF) submitted a letter in support of HB 360 to the Alabama House of Representatives.
- HB 360 cruised through the House Ways and Means Education Committee, and on February 24, passed the Alabama House of Representatives 73 to 29.
In a time of seemingly ever-increasing inflation, many Americans are limited on disposable income that could go towards the time-honored outdoor pastimes that we all enjoy and that pay into conservation. Providing Alabamians with the opportunity to purchase firearms, ammunition, and other hunting supplies free from state sales tax allows them the opportunity to do just that, while keeping some money in their pocket to go towards other necessities.
CSF’s letter stated: “Outdoor sporting goods tax holidays offer sportsmen and women an opportunity to purchase necessary equipment tax free while at the same time benefiting conservation programs through increasing sales of firearms, ammunition, and other items which would continue to be subject to manufacturer-level federal excise taxes. The Federal Aid in Wildlife Restoration Act (Pittman-Robertson Act) set up a system in which excise taxes collected from sporting goods purchases are funneled back into conservation. These excise taxes are used to fund a wide variety of activities including wildlife research, private and public habitat management, hunter education, shooting range development, land acquisition and easements, and much more.”
These holidays benefit distributors and purchasers of firearms, ammunition, and other outdoor sporting goods, but they have also made it easier for sportsmen to purchase the hunting and fishing equipment they need. If Alabama were to successfully enact HB 360, it would join other neighboring states like Mississippi and Florida to implement a similar outdoor sales tax holiday.
The Congressional Sportsmen’s Foundation will continue to work with the Alabama Legislative Sportsmen’s Caucus to support HB 360 as it heads to the Senate.
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