The bill establishes a county rental tax specifically for Elmore County, set to take effect on September 1, 2025. This tax will be levied on individuals leasing or renting tangible personal property, with the Revenue Commissioner responsible for calculating the tax rates based on specified formulas. The rates for incorporated areas will be determined by subtracting certain state and municipal rental tax rates from a base rate of nine and one-half percent, while unincorporated areas will have a minimum rate of five and one-half percent or a similar calculation. The bill also includes provisions for recalculating rates in response to changes in the referenced tax rates and mandates that the county commission certify these rates.

The proceeds from the rental tax will be allocated to the Enhance Elmore Fund, with 90% designated for infrastructure and 10% for economic development. Additionally, the bill exempts the rental or lease of motor vehicles that require registration under state law from this tax. The county commission is tasked with the collection and administration of the tax, ensuring compliance with the established framework. The act is set to become effective on June 1, 2025.

Statutes affected:
Introduced: 40-12-222
Enrolled: 40-12-222