Under current law, a percentage of the net proceeds from the Simplified Sellers Use Tax (SSUT) is distributed to municipalities based on population. SB 107, introduced by Sen. Sessions, R-Grand Bay, proposes that, for SSUT distribution, the population of a municipality may be adjusted every five years after the release of a federal decennial census.

Rep. Chris England, D-Tuscaloosa, has introduced HB36 to increase the SSUT rate from 8% to 9.25%. Read more about HB36 at https://aldailynews.com/england-pre-files-online-sales-tax-increase-new-revenue-dedicated-to-schools/.

HB152 by Rep. Neil Rafferty, D-Birmingham, would exempt the purchase of certain baby supplies, baby formula, maternity clothing, and menstrual hygiene products for personal use from the state portion of sales and use tax. Additionally, the legislation would allow local governments to adopt exemptions for these products.

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