Alabama law outlines classes of property for ad valorem tax purposes.

1. Class IV Motor Vehicles (15%)

This class includes all private passenger motor vehicles, private passenger motor vehicles under lease-purchase option agreement, motor vehicles registered in the name of a beneficiary of a trust, station wagons, sports utility vehicles (regardless of weight), vans and pickup trucks which weigh (8,000) pounds gross vehicle weight or less that are owned and operated by an individual for personal or private use and not for hire, rent or compensation.

2. Class I Motor Vehicles (30%)

This class includes all motor vehicles owned by public utilities and used in the business of such utilities.

3. Class II Motor Vehicles (20%)

This class includes all motor vehicles that do not fall within the definition of either Class IV or Class I motor vehicles. This class includes motorcycles, utility trailers, recreational vehicles, leased vehicles not for private use and without lease-purchase option, trucks weighing more than (8,000) pounds gross weight, and all vehicles used for commercial purposes.