HB586 Alabama 2012 Session

Summary

Primary Sponsor

Arthur Payne

Republican

Session

Regular Session 2012

Title

Jefferson Co., occupational tax, county commission authorized to levy, Act 99-669, 1999 2nd Sp. Sess. repealed

Summary

HB586 would allow Jefferson County to levy an occupational tax on anyone engaged in any occupation in the county, repeal the old Act 99-669, and establish how the tax would be collected and used.

What This Bill Does

If enacted, the Jefferson County Commission could impose an occupational tax on any person working in the county, but only with a four-fifths vote. The tax would be capped at 0.45% of compensation (excluding benefits) or net income before taxes, whichever is less, and any increase would require approval from the Alabama Legislature. The rate would automatically decrease each January 1 by the total percentage of sewer rate increases from the previous year, and the amount owed could be reduced by other applicable business taxes already paid. Revenue from the tax would go to the county general fund, and the act would repeal Act 99-669, with the law taking effect after the governor signs it.

Who It Affects

• Individuals living or working in Jefferson County who are engaged in any occupation would be subject to the occupational tax, up to the stated rate and under the described rules.
• The Jefferson County government and local taxpayers, as the tax would provide revenue to the county general fund, require a supermajority vote to levy, and repeal the prior act governing this tax.

Key Provisions

• Authorizes the Jefferson County Commission to levy an occupational tax on persons engaged in any occupation in the county, with a four-fifths vote required for implementation.
• Tax base and rate: up to 0.45% of compensation (excluding benefits) or net income before taxes, whichever is less; rate increases require Alabama Legislature approval.
• Annual rate adjustment: on January 1 each year the current rate must be decreased by the total percentage of sewer rate increases from the previous calendar year.
• Deductions and credits: the occupational tax due may be reduced by any municipal business license tax, Act 2011-662 license/privilege tax, or other general law business license taxes paid.
• Revenue use: proceeds go to the county general fund; the act repeals Act 99-669, 1999 Second Special Session.
• Effective date: becomes law immediately after passage and governor approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Jefferson County