HB372INTRODUCED
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HB372
PUVQEEE-1
By Representatives Ingram, Starnes, Stubbs (N & P)
RFD: Local Legislation
First Read: 27-Feb-25
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5 PUVQEEE-1 02/27/2025 CD (F)DJ 2024-3150
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First Read: 27-Feb-25
A BILL
TO BE ENTITLED
AN ACT
Relating to Elmore County; to levy a county rental tax
and provide for the calculation of the rate; and to provide
for the distribution of the proceeds collected from the tax.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. This act shall only apply to Elmore County.
Section 2. (a) In addition to all other taxes,
beginning September 1, 2025, there is levied a privilege tax,
to be called a rental tax, on each person leasing or renting
tangible personal property as provided by this section.
(b) The Revenue Commissioner of Elmore County shall
calculate the rates for the tax levied by this section using
the formulas as provided in subsection (c) rounded to the
nearest one tenth of a percent and shall publish notice of the
rates by August 1, 2025.
(c)(1) a. The rate for each incorporated area of the
county, including any police jurisdictions, shall be equal to
the difference of the following:
1. Nine and one-half percent;
LESS
2. The lesser of the following:
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2. The lesser of the following:
(i) The general state rental tax rate levied pursuant
to Section 40-12-222(a)(1), Code of Alabama 1975; or
(ii) Four percent;
LESS
3. The applicable general rental or lease tax rate
levied on the rental of tangible personal property by a
municipality in the incorporated area or police jurisdiction.
b. If the calculation from paragraph a. results in a
negative number, no county rental tax shall be levied by this
section.
(2) The rate for unincorporated areas of the county,
not to include any police jurisdictions, shall be an amount
equal to the greater of:
a. Five and one-half percent; or
b. The difference of the following:
1. Nine and one-half percent;
LESS
2. The lesser of the following:
(i) The general state rental tax rate levied pursuant
to Section 40-12-222(a)(1), Code of Alabama 1975; or
(ii) Four percent.
(d) Upon any change in the rates referenced in
subsection (c) that are used to calculate the county rental
tax rate, the revenue commissioner shall recalculate the
county rental tax rates in subsection (c) and publish notice
of the new rate adjustment.
(e) The county commission shall certify by resolution
the county rental tax rates levied by this section, including
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the county rental tax rates levied by this section, including
any recalculations provided by subsection (d).
(f) The tax levied by this section shall parallel the
tax imposed by Article 4 of Chapter 12 of Title 40, Code of
Alabama 1975. This tax shall apply to the same persons and
transactions to which that tax applies.
(g) The county commission shall provide for the
collection and administration of this tax by resolution.
(h)(1) The proceeds of this tax shall be deposited into
the Enhance Elmore Fund.
(2) The county commission shall appropriate the
proceeds of this tax as follows:
a. Ninety percent for infrastructure.
b. Ten percent for economic development.
Section 3. This act shall become effective on June 1,
2025.
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