Included below is a general overview of state and local taxes and the incentives available. More detailed information can be found in the Alabama's Taxes and Incentives Guide  or on the Alabama Department of Revenue website. Other incentives may be available to qualifying industries locating to or already located in DeKalb County. To see if your company qualifies for additional incentives or assistance, please contact the DeKalb County Economic Development Authority staff at 888-421-7957.

 

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Business Privilege Tax

• Based on net worth in Alabama
• Based on a corporation’s ability to pay
• Rate ranges from $.25 to $1.75 for each $1,000 of net worth in Alabama

Incentives include:

• Deduction for pollution control equipment
• Deduction for air carrier with hum operation

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Corporate Income Taxes

6.5% of taxable income allotted to the business done in Alabama

Can deduct for all federal income taxes apportioned to Alabama

Incentives include:

• Net operating loss carryforward
• Deduction for pollution control equipment
• Income tax capital credit
• Basic skills educational tax credit

Corporate Income Tax Frequently Asked Questions 

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Income Tax Capital Credit

• Up to 5% credit for the total capital costs of qualifying projects
• Available every year for 20 years

Visit the Alabama Department of Revenue website for a full overview of this incentive.

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State Unemployment Tax

• Employees do not contribute
• Employer requirement is based on first $8,000 of each employee’s compensation
• Rates vary from 0.5% to 5.4%
• New employer rate is 2.7%
• Rates are based on employer’s experience rating

Employer Information - Unemployment Compensation 

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Property Taxes

DeKalb County Property Taxes Millage State 6.5 County 7.5 Hospital 4.0 School 14.5 Fire Tax* 3.0 Total 32.5 Incentives: Abatements available for noneducational property taxes Deduction for pollution control equipment Alabama does not levy property tax on inventory Exemptions available for raw materials inventory   General FAQ questions for Alabama Property Tax on Alabama Department of Revenue website.

Municipal Property Taxes City Millage Collinsville 5.0 Crossville 5.0 Fort Payne 12.5 Fyffe 5.0 Geraldine 5.0 Hammondville 5.0 Henagar 5.0 Ider 5.0 Lakeview 5.0 Mentone 6.0 Pine Ridge 0.0 Powell 5.0 Rainsville 5.0 Shiloh 0.0 Sylvania 5.0 Valley Head 5.0

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Sales & Use Taxes

Sales & Use Taxes (Manufacturing Machinery) Tax Jurisdiction Total Millage Abatable Portion State 1.50% 1.50% County 0.50% 0.15% For more sales and use tax information, visit the Alabama Department of Revenue website. Incentives: Abatements available for noneducational sales/use taxes Deduction for pollution control equipment Exemption for raw materials Sales and use tax reciprocity Exemption for quality control testing and donations to charitable entities Utility gross receipts tax exclusions Exclusions for poultry houses Visit the Abatement section of the Alabama Department of Revenue website for more information and forms.

Sales & Use Taxes (General) DeKalb County Municipality State & Local Tax Rates Abatable Portion Collinsville 9% 8.70% Crossville 8% 7.70% Fort Payne 8% 7.70% Fyffe 9% 8.70% Geraldine 8% 7.70% Hammondville 8% 7.70% Henagar 9% 8.70% Ider 9% 8.70% Lakeview 8% 7.70% Mentone 7% 6.70% Pine Ridge 5% 4.70% Powell 8% 7.70% Rainsville 9% 8.70% Shiloh 5% 4.70% Sylvania 8% 7.70% Valley Head 7% 6.70%