Code of Alabama - Title 45: Local Laws - Section 45-37-245.01 - Levy of tax for promotion of Jefferson County as convention, sporting, and visitors’ destination

Section 45-37-245.01 - Levy of tax for promotion of Jefferson County as convention, sporting, and visitors’ destination.

(a) This section shall apply to Jefferson County.

(b) In addition to all other taxes imposed by law, there is hereby levied a privilege or license tax, in the amount hereinafter prescribed against every person, organization, or other entity engaging in the county in the business of renting or furnishing any room or rooms, lodging, or accommodations, in any hotel, motel, inn, tourist court, or any other place in which rooms, lodgings, or accommodations are regularly furnished for a consideration. The amount of the taxes levied by this section shall be equal to one percent of the charge for such rooms, lodgings, or accommodations. The taxes levied by this section shall become effective on September 1, 1995.

(c) All amounts collected within the County of Jefferson pursuant to this section shall be allocated to the Greater Birmingham Convention and Visitors Bureau, established by Act No. 794, 1969 Regular Session, and shall be used for the promotion of Birmingham and Jefferson County as a convention, sports event, and visitors’ destination. No funds collected pursuant to this section shall be transferred to any other entity or authority, private or public, for any use whatsoever other than such promotion undertaken by the Greater Birmingham Convention and Visitors Bureau. A promotion shall be defined as actions which are temporary and event oriented such as advertising, publicity, or merchandising. No funds collected pursuant to this section shall be used for any capital improvement or for salaries of any other entity or authority.

(d) There are exempted from the provisions of the tax levied by this section and from the computation of the amount of the tax levied or payable the following: Charges for property sold or services furnished which are required to be included in the tax levied by the State Sales Tax Act; boarding houses, tourist homes, and similar establishments regularly offering less than five rooms for rental; charges for the rental of rooms, lodgings, or accommodations furnished by any hospital, nursing homes, convalescent homes, or by any charitable or eleemosynary institutions; charges for the rental of rooms, lodgings, or accommodations for a period of 30 continuous days or more. The exemption pursuant to this subsection shall apply to any property sold or services furnished which are required to be included in any sales tax now or hereafter levied by the State of Alabama.

(e) The taxes levied by this section, except as otherwise provided shall be due and payable to the director of revenue or any other county officer or employee charged with the duty of collecting county licenses or privilege taxes, on or before the 20th day of each month next succeeding the month in which the tax accrues. On or before the 20th of each month after the effective date of the taxes every person upon whom the tax is levied by this section shall render to the director of revenue on a form prescribed by him or her, a true and correct statement showing the gross proceeds of the business subject to the tax for the then preceding month, together with such other information as the director of revenue may demand and require. When making the monthly report the taxpayer shall compute and pay to the director of revenue the amount of taxes shown to be due, provided, however, any person subject to the tax who conducts any business on a credit basis may defer reporting and paying the tax until after the person has received payment for the items, articles, or accommodations furnished. In the event the taxpayer so defers reporting and paying any taxes he or she shall thereafter include in each monthly report all credit collections made during the then preceding month and shall pay the amount of taxes computed thereon at the time of filing the report. Every person engaged or continuing in any business subject to the taxes levied by this section shall keep and preserve suitable records of the gross proceeds of the business and such other books or accounts as may be necessary to determine the amount of tax for which he or she is liable. The records shall be kept and preserved for a period of five years and shall be open for examination at any time by the director of revenue or by any duly authorized agent, deputy, or employees of the director. Any person who fails to pay the tax levied by this section within the time required by this section shall pay in addition to the tax a penalty of 10 percent of the amount of tax due, together with interest thereon at the rate of one-half of one percent per month or fraction thereof from the date on which the tax became due and payable, to be assessed and collected as a part of the tax. The director of revenue may, if good and sufficient reason is shown, waive or

remit the penalty or any portion thereof.

(f) The failure of any person to pay any tax levied by this section within the time specified for the payment of the same by the section shall constitute a misdemeanor. The violation of any of the provisions of this section by any person shall constitute a misdemeanor. Any person violating any provisions of the section shall upon conviction be punished by fine of not more than five hundred dollars ($500) and may also be sentenced to hard labor for the county for not exceeding six months, or both, unless a different punishment is prescribed herein.

(g) Before the 20th day of each calendar month the director of revenue shall pay pursuant to subsection (c), the amounts allocated therein to the Greater Birmingham Convention and Visitors Bureau, all of the licenses and privilege taxes levied by this section received by him or her during the next preceding calendar month.

(h) None of the provisions of this section shall be applied in such manner as to violate the Commerce Clause of the Constitution of Alabama. Should any provision of this section be held invalid, the invalidity thereof shall not alter the remaining provisions of the section.

(Act 95-783, p. 1860, §§1-8; Act 97-273, p. 490, §1.)

Last modified: May 3, 2021