More than 100 Alabama cities will soon stop collecting taxes from police jurisdictions outside city limits

BIRMINGHAM, Ala. (WBRC) – Greater than 100 Alabama cities will quickly should cease accumulating taxes within the police jurisdictions simply outdoors of their metropolis limits.

It’s as a result of the cities didn’t adjust to a 2021 legislation that requires them to share with the state how a lot tax they collected and the place these taxes went.

That legislation states that if cities and cities didn’t share their police jurisdiction tax info with the state, then they will not gather taxes and charges within the police jurisdiction simply outdoors their company restrict. In response to The Alabama Day by day Information, that’s 128 Alabama cities.

Editor Todd Stacy mentioned below the legislation, these cities can’t ever gather taxes and charges for the police jurisdiction outdoors of their metropolis limits. The legislation was designed to stop officers from spending tax {dollars} collected outdoors their limits, inside town. It offered cities 12 months to ship of their numbers.

Stacy mentioned some cities selected to not file a report, as a result of the cash they have been brining in wasn’t giant sufficient. Stacey mentioned different metropolis leaders mentioned they didn’t know.

“Some are saying ‘we didn’t know this was taking place, how can we comply’,” Stacy mentioned. “If they didn’t adjust to this legislation and report this knowledge to the state, there’s no second likelihood. There is no such thing as a ‘properly we will do that over and begin once more subsequent yr after which once more be capable to gather these taxes and charges’, you’re performed.”

It’s unclear precisely how a lot cash these cities and cities may lose. Additionally it is unclear if they’ll proceed to patrol the areas outdoors their metropolis limits with out tax cash.

WBRC reached out to the Alabama Division of Income and in an announcement, they mentioned:

WBRC reached out to The Alabama League of Municipalities and in an announcement, they mentioned:

WBRC additionally spoke with town of Irondale. It was the one metropolis in Jefferson County that didn’t comply, based on Alabama Day by day Information’ listing.

Irondale Mayor James Stewart mentioned they presently don’t gather any taxes within the police jurisdictions round their boundaries, so that’s the reason they didn’t file a report. He mentioned they’re working with the Division of Income, however their information present no funds in police jurisdictions.

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