Baldwin County, further provides for the distribution of the proceeds of the special privilege license tax

HB 421 allows municipalities in Baldwin County with school boards to opt into sharing in the proceeds from a special privilege license tax. If a municipality passes a resolution, it will receive a proportional share of the tax funds currently distributed to Baldwin County's school board, based on tax collected within its boundaries. The bill adds this option to Alabama law and takes effect October 1, 2025. It directly affects Baldwin County municipalities that choose to participate in this tax-sharing arrangement.