Tuscaloosa files lawsuit: Is Alabama’s online sales tax system illegal?

Tuscaloosa files lawsuit: Is Alabama’s online sales tax system illegal?

The city argues that Amazon, Walmart and delivery services like DoorDash should pay conventional local taxes instead of reduced SSUT rates.

Tuscaloosa sues state over online sales tax; Trussville backs effort as ‘friend of the court’

By Jakob Gurley, TRUSSVILLE, Ala. — The city of Tuscaloosa filed a lawsuit Tuesday in Montgomery against the state of Alabama, challenging the distribution of online sales tax revenue under the Simplified Sales and Use Tax (SSUT) system — a formula that some municipal leaders say is draining millions from local budgets. Trussville is not a plaintiff in the case but has formally endorsed the effort as a friend of the court, signaling strong suppo…