Alabama § 23-1-312 - Bonds and Notes - Exemption from Taxation; Use as Security for Deposits; Eligibility as Investment for Fiduciary Funds.
Full text of Alabama Code of Alabama § 23-1-312 — Bonds and Notes - Exemption from Taxation; Use as Security for Deposits; Eligibility as Investment for Fiduciary Funds., with citation guidance and answers to common questions.
§ 23-1-312. Bonds and Notes - Exemption from Taxation; Use as Security for Deposits; Eligibility as Investment for Fiduciary Funds.
(a) Any obligations authorized by this article and the income therefrom shall be exempt from all taxation in the state.
(b) Any of the obligations authorized by this article may be used by the holder thereof as security for the deposit of any funds belonging to the state or to any instrumentality or agency of the state in any instance where security for such deposits may be required by law.
(c) Unless otherwise directed by the court having jurisdiction thereof or by the document that is the source of power, a trustee, executor, administrator, guardian or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest fiduciary funds in any of the obligations authorized by this article.
Source: official Alabama text · Last verified 2026-08-27
Frequently Asked Questions About Alabama § 23-1-312
What does Code of Alabama § 23-1-312 cover?
Section 23-1-312 ("Bonds and Notes - Exemption from Taxation; Use as Security for Deposits; Eligibility as Investment for Fiduciary Funds.") is part of the Code of Alabama, the codified statutory law of Alabama. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Alabama § 23-1-312?
A common citation format is "Code of Alabama § 23-1-312" (Alabama). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Alabama law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Alabama official source linked on this page or consult a licensed Alabama attorney.
How does Alabama § 23-1-312 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Alabama can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Alabama.