TO:	ALL PERSONS, FIRMS, AND CORPORATIONS making sales at retail and purchasing tangible personal property for use, storage, or consumption in the Town of Baker Hill, Alabama, and its police jurisdiction (Barbour County).

 
Sections 11-51-200, et seq., Code of Alabama 1975, authorize and empower municipalities to levy a true sales and use tax identical to the State Sales and Use Tax Laws except for the rates of tax and require the Alabama Department of Revenue upon request of the municipality to collect the tax.

As authorized by Law, the governing body of the Town of Baker Hill adopted Ordinance No. 97-3 levying a sales tax effective April 1, 1998. The Sales Tax rates for Baker Hill are shown below:
 

General Rate	2%
Admissions to places of amusement and entertainment	2%
Cost of food for human consumption sold through vending machines	2%
Net difference paid for machines, machinery and equipment used in planting, cultivating, and harvesting farm products	2%
Machines and parts and attachments for machines used in manufacturing tangible personal property	2%
Net difference paid for all automotive vehicles, truck trailers, semi-trailers, and house trailers	2%

 

If sales are made and delivered to consumers outside the corporate limits of the Town of Baker Hill but within the police jurisdiction, the rates of tax are one-half of those stated above.

The Law requires that the tax be collected from your customers in the same manner as the State Sales Tax.

Ordinance No. 97-3 also levies a use tax on tangible personal property purchased outside the corporate limits of the Town and its police jurisdiction for use, storage, or other consumption within the corporate limits of the Town and its police jurisdiction. The rates of tax are the same as the sales tax rates. No discount is allowed for prompt payment of consumers use tax.

The Town of Baker Hill Sales and Use tax return will be filed in the same manner as your State Report and should be mailed to:

A reporting form for the Town of Baker Hill must be used in filing your return and a separate remittance must be attached to the return. Please make your remittance payable to the Alabama Department of Revenue. The tax collected for Baker Hill will be returned to the Town.

New forms for use in filing the Baker Hill returns will be mailed to you before May 1, 1998, so you can file your report for the month of April 1998, on or before May 20.

Businesses that report all local taxes on the city and county consolidated tax return will not receive individual Baker Hill forms. Those filing on consolidated tax returns are required to add Baker Hill and the 9752 prefix code.

Please direct all questions regarding the Town of Baker Hill tax to this office.

ALABAMA DEPARTMENT OF REVENUE
Sales, Use & Business Tax Division
P.O. Box 327710
Montgomery, Alabama 36132-7710
(334) 242-1490