SB44 Alabama 2022 Session

Under existing law, an occupational license tax based on income may be levied by a municipality on certain persons gainfully employed in the municipality.

This bill would enact the "Family Income Protection Act." The bill would phase out any occupational license tax levied by a municipality based on an annual reduction in the percent of the tax until the tax would be repealed.

The bill would also provide that any occupational license tax levied by any municipality would not apply to any person performing an occupation in the police jurisdiction of the municipality or on any property annexed into the municipality after January 1, 2021.

The bill would also prohibit any municipality from levying a new occupational license tax or increasing any existing occupational license tax.

Relating to municipal occupational license taxes; to add Section 11-51-91.1 to the Code of Alabama 1975, to phase out any municipal occupational license tax based on an annual reduction in the tax until the tax would be repealed; to provide that any occupational license tax levied by any municipality would not apply to any person performing an occupation in the police jurisdiction of the municipality or on any property annexed into the municipality after January 1, 2021; and to prohibit a municipality from levying a new occupational license tax or increasing the rate of any existing municipal occupational license tax.