SB111 Alabama 2011 Session

Summary

Primary Sponsor

Arthur OrrSenator

Republican

Session

Regular Session 2011

Title

Occupational tax, levy by county or municipality, prohibited, const. amend.

Summary

SB111 would amend the Alabama Constitution to bar counties and municipalities from collecting new occupational taxes on individuals' earnings after January 1, 2011, while allowing pre-2011 taxes to continue.

What This Bill Does

It prohibits the collection of a privilege or license tax on the gross receipts of a natural person from a vocation within a county or municipality unless that tax was imposed before January 1, 2011. Taxes that were already in place before 2011 may continue to be collected; the measure does not revoke existing authority to impose business licenses. The proposal requires a statewide election to approve the constitutional amendment, and, if approved, it becomes part of the Alabama Constitution.

Who It Affects

• Counties and municipalities in Alabama would be barred from imposing new occupational taxes after January 1, 2011; only taxes that were already in place before that date may be collected.
• Natural persons (residents and workers) and businesses operating within those counties/municipalities would be subject to occupational taxes only if such taxes were imposed before January 1, 2011; new or increased taxes after that date would not be allowed.

Key Provisions

• Prohibits any privilege or license tax based on gross receipts from a vocation within a county or municipality unless the tax was imposed before January 1, 2011.
• Taxes in effect prior to January 1, 2011 may continue to be collected; new post-2010 occupational taxes are prohibited.
• Does not repeal or reduce existing authority to impose business licenses or municipal business licenses; existing licensing powers remain intact.
• Requires a statewide election to approve the amendment; ballot language will describe the amendment and its substance, and the measure passes if a majority of voters approve.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Constitutional Amendments