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Alabama has a state general sales tax of 4%, plus any additional local city and county taxes. [48] As of August 2015, the highest total general sales tax rate in Alabama is in the portions of Arab that are in Cullman County, which total to 13.5%. [49]
Birmingham's sales tax, which also applies fully to groceries, is 10% and is the highest tax rate of the nation's 100 largest cities. [ 55 ] [ 56 ] Although Jefferson County's bankruptcy filing was the largest government bankruptcy in U.S. history in 2011, Birmingham remains solvent.
This additional 1% has resulted in some county municipalities, such as Fairfield, to have sales tax rates as high as 10%, while other municipalities and incorporated communities had an increase in their total sales tax rate from 8% to 9%. The state of Alabama sales tax was 4% at the time and Jefferson County's was 2% in total. Some municipal ...
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Municipalities in Alabama charge a tax on gross wages called an occupational tax. This is a tax on employers for providing jobs to the local community. The municipalities that charge the job providers are: Attalla 2% Auburn 1% Bear Creek 1% Bessemer 1% Birmingham 1% Brilliant 1% Fairfield 1% Gadsden 2% Glencoe 2% Goodwater 0.75% Guin 1%
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