Alabama § 45-28-243 - Privilege or License Tax.

§ 45-28-243. Privilege or License Tax.

(a) In Etowah County, there is levied and imposed, in addition to all other taxes of every kind now imposed by law, a privilege or license tax upon every person, firm, or corporation engaging in the business of renting or furnishing any room or rooms, lodging, or accommodations to transients in any hotel, motel, inn, tourist camp, tourist cabin, or any other place in which rooms, lodgings, or accommodations are regularly furnished to transients for a consideration, in an amount of two percent of the charge for such room, rooms, lodgings, or accommodations, including the charge for use or rental of personal property and services furnished in the room. There is exempted from the tax levied under this section any taxes on rentals or services under Division 1, commencing with Section 40-23-1, of Article 1, Chapter 23, Title 40. The tax shall not apply to rooms, lodgings, or accommodations supplied for a period of 180 continuous days or more in any place.

(b) Municipal privilege license taxes which are levied and collected by the application of a flat percentage rate on gross sales or gross receipts from sales and which are passed on directly by the licensee-seller to the purchaser-consumer or user shall be excluded from gross sales or gross receipts in the computation of the tax levied in this section.

(c) The tax levied in this section shall be collected in the same manner as the state lodgings tax as provided in Chapter 26, Title 40 and shall be additional thereto; and the net proceeds of the tax shall be payable to the county general fund for the purposes of promoting tourism and beautification. The funds shall be used as follows: Fifty percent for the support and promotion of tourism and 50 percent for the support and promotion of beautification and ecology as determined by the resolutions of the Clean and Beautiful Community Commission and the Gadsden-Etowah County Tourism Board. The State Department of Revenue shall adopt rules and provide forms and instructions as necessary to implement this section.