Business & Tech

Irondale City Council Passes Occupational Tax

After a proposed property tax increase was voted down by Irondale residents, the city council passed a new occupational tax.

IRONDALE, AL - A Birmingham suburb has passed a new occupational tax despite opposition from residents at a public hearing during its recent city council meeting.

Irondale, a city whose budget has taken a hit this year due to the closure of Sam's Club, voted down a property tax increase earlier this year. According to a report by the Birmingham Business Journal, the city passed a 1 percent occupational tax in an effort to deal with its $1.6 million deficit.

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The tax was met with opposition from residents at a public hearing during the city council meeting, with the main concern being it would not be fair to people who work but do not live in Irondale, and they voiced concerns over the city's ability to attract new business.

In Birmingham, a tax of 1 percent is imposed on all workers, including nonresidents, and Bessemer and Midfield are among the local cities that also have occupational taxes.

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The new tax is expected to go into effect in the next 90 days.

Photo via City of Irondale

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