Sales and Use Tax Exemption for a Governmental Entity Project Certification


Section 40-9-14.1 of the Code of Alabama, 1975, as amended, provides a sales and use tax exemption for contractors who are working on projects for Alabama government entities. Both the government entity and the contractor must apply for a certificate of exemption per project. Once awarded a certificate of exemption, the contractor may use their own certificate to purchase materials tax exempt for a specific project. The Application for Sales and Use Tax Certificate of Exemption is available at: https://revenue.alabama.gov/wp-content/uploads/2017/05/ST-EXC-01.pdf. Information is also available on the Memo on Sales Tax Certificate dated 10/28/13, an Additional Memo from ADOR on Certificates of Sales Tax Exemption for Government Entity Projects dated 01/22/14, and the Government Entity Project Exemption power point presentation.


For any sales and use tax questions, please contact:
Alabama Department of Revenue
Sales and Use Tax Division
334-242-1490 (phone)
STExemptionUnit@revenue.alabama.gov