Budget & Taxes (Licensing)

This bill allows Alabama municipalities to charge business licenses to certain construction and trade companies that work within city limits but do not have a permanent office there. It specifically targets licensed contractors such as electricians, plumbers, HVAC specialists, general contractors, and home builders who operate on temporary job sites. The law requires these businesses to either pay a flat fee or a percentage of their gross earnings from work done in the municipality, while also allowing them to avoid double taxation by excluding income already taxed in other municipalities. Additionally, the bill exempts these businesses from licensing requirements when working on county-owned projects like roads and bridges. The changes take effect on October 1, 2026.