HB403 Alabama 2018 Session

Summary

Primary Sponsor

Jack Williams

Republican

Session

Regular Session 2018

Title

Jefferson Co., automobile rental tax, add'l tax levied, Act 2001-550, 2001 Reg. Sess., am'd; Sec. 45-37-244.01 am'd.

Summary

HB 403 would add a 3% Jefferson County tax on passenger vehicle rentals for up to one year and dedicate the revenue to the Birmingham-Jefferson Civic Center Authority for its operations and improvements, with the law becoming effective only after stadium financing conditions are met.

What This Bill Does

Imposes a new 3% tax on the gross proceeds from renting passenger vehicles in Jefferson County for leases up to one year. The collected funds are allocated to the Birmingham-Jefferson Civic Center Authority to support its operations, including capital expansion, renovation, and maintenance. It requires monthly reporting and payment, maintains records for five years, and imposes penalties for late payment; the act’s effective date is conditioned on stadium financing commitments and related revenues.

Who It Affects

• Jefferson County vehicle rental businesses: must collect the 3% tax, file monthly reports, remit taxes, keep records, and may face penalties for nonpayment.
• Birmingham-Jefferson Civic Center Authority: will receive the tax revenue to fund its operations and improvements, with the operative date tied to debt service and stadium financing commitments.

Key Provisions

• Adds a 3% tax on gross proceeds from leasing or renting passenger vehicles in Jefferson County for a term not exceeding one year.
• Tax revenues must be allocated to the Birmingham-Jefferson Civic Center Authority for its operations, including capital expansion, renovation, and maintenance.
• Taxes are due monthly; taxpayers must report and pay, keep records for five years, and are subject to a 10% penalty plus 0.5% interest per month for late payments; penalties may be waived in part by the director.
• Failure to pay tax is a misdemeanor; fines up to $500, up to six months in jail, or both.
• The director must pay collected taxes to the Authority by the 20th of each month for the preceding month’s receipts.
• The act contains a Commerce Clause safeguard and a severability clause in case any provision is invalidated.
• Section 1 operative date depends on bond counsel certifying sufficient revenue sources for a $300 million bond issue and, after a stadium-related commitment, the Authority delivering a certificate triggering the first operative date.

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