Members of the Montgomery City Council unanimously voted to join a lawsuit brought by Tuscaloosa against the State of Alabama over its online sales tax law.
The State’s online sales tax law is known as the Simplified Sellers Use Tax (SSUT) program. Half of the 8% online sales tax goes to the State, and the other half goes to cities and counties.
The City of Tuscaloosa and the Tuscaloosa City Schools filed a lawsuit against the Commissioner of the Alabama Department of Revenue on August 12 over Alabama’s online sales tax law.
The cities suing Alabama claim they aren’t getting a large enough percentage of revenue from the tax. The Association of County Commissions of Alabama has called changing the law “foolish and unjustified.”
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