RAINBOW CITY
| TO: | ALL PERSONS, FIRMS, AND CORPORATIONS engaged in the business of leasing or renting tangible personal property in the City of Rainbow City, Alabama, and its police jurisdiction (Etowah County). |
On June 23, 1998 the governing body of the City of Rainbow City adopted Ordinance
No. 357 levying a two percent (2%) rental tax on the gross proceeds derived
by the lessor from the renting or leasing of tangible personal property. The
rental or lease tax on each person engaging or continuing within the City of
Rainbow City in the business of leasing or renting any automotive vehicle or
truck trailer, semitrailer or house trailer shall be at the rate of one half
of one percent (1/2%) of the gross proceeds derived by the lessor from the lease
or rental of such tangible personal property. Persons engaged in the renting
or leasing of linens and garments within the City of Rainbow City shall be taxed
at the rate of two percent (2%) of the gross proceeds derived by the lessor
from the lease or rental of such linens and garments.
If leases are made to lessees outside the corporate limits of the City of Rainbow City but within
the police jurisdiction, the rates of tax are one-half of those stated above.
The Alabama Department of Revenue will begin collecting the City of Rainbow
City rental taxes effective August 1, 1998. Your first report
to be filed with the Alabama Department of Revenue will be for the month of
August 1998 and is due on or before September 20, 1998.
Please direct all questions regarding the City of Rainbow City Rental tax to
this office.
ALABAMA DEPARTMENT OF REVENUE
Sales, Use & Business Tax Division
P.O. Box 327710
Montgomery, AL 36132-7710
(334) 242-1490