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Lawsuit over online sales tax distribution could threaten Columbiana revenue, officials warn
Summary
Council members and the mayor warned that a lawsuit by larger Alabama cities against the Alabama Department of Revenue could change how online sales tax is distributed and reduce municipal revenue for smaller cities including Columbiana.
City officials told residents that a lawsuit filed by several large Alabama municipalities challenging the state’s handling of online sales tax collections could reduce funds now distributed to smaller cities, including Columbiana.
Mayor (name not specified) said current collections on online sales are effectively split between the state and municipalities and that larger cities argue they lose retail-generated revenue to online…
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