SB65 Alabama 2023 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." This bill would incrementally reduce any occupational license tax levied by a municipality greater than one percent based on an annual reduction in the percent of the tax until the tax would be one percent

This bill would 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, 2023

This bill would provide a referendum under certain conditions in any county in which two or more municipalities levied an occupational license tax greater than one percent on January 1, 2023

This bill would prohibit any municipality from levying a new occupational license tax or increasing any existing occupational license tax

This bill would provide certain exceptions from occupational license taxes for certain temporary SB65 INTRODUCED workers and for severance pay

This bill would also specify that the power of a municipality to license an exhibition, trade, business vocation, occupation, or profession only applies to activity engaged in or carried on in the municipality; would further provide for refund procedures for any remittances based on activities of licensees outside of the jurisdiction of a municipality; and would further provide for remittance procedures by employers

Relating to municipal occupational license taxes; to add Section 11-51-91.1 to the Code of Alabama 1975, to reduce any municipal occupational license tax greater than one percent based on an annual reduction in the tax until the tax would be one percent; 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, 2023; to provide for a referendum under certain conditions in certain counties in which two or more municipalities levied an occupational tax greater than one percent on January 1, 2023; to prohibit a municipality from levying a new occupational license tax or increasing the rate of any existing municipal occupational license tax; to provide SB65 INTRODUCED for certain exceptions from any occupational taxes for certain temporary workers and for severance pay; to specify the power of a municipality pursuant to Section 11-51-90 of the Code of Alabama 1975, to license an exhibition, trade, business, vocation, occupation, or profession only within the corporate limits and jurisdiction of the municipality, to further provide for refunds and collections of the license fees and taxes, and to provide that these provisions are retroactive and declaratory of existing law.