When you rent a car, expect to pay more - WBRC FOX6 News - Birmingham, AL

When you rent a car, expect to pay more


The next time you rent a car, you can expect to pay more. The Montgomery City Council passed an ordinance Tuesday, that raises the tax on certain rental cars. The individuals and businesses that lease rentals expect to dish out more in taxes.

Montgomery Councilman Glen Pruitt was one of three council members who voted against the ordinance that still passed with majority vote. "There's some of us on the council that are tired of taxing everybody every time you turn around."

This ordinance will set the tax for rental vehicles less than a 15 passenger capacity to 3.5 percent in the city limits and 1.75 percent in the county.

"The issues that some of the people had is it was very unclear. A passenger van of 15 or less, yes. A moving vehicle to move your furniture here in town, yes, but a trailer to pull behind your car, no so there was some question marks."

Pruitt says the recent increase in liquor tax will have unintended consequences. "You know [increasing] the sanitation fees. It's just constantly something and all we are doing is pushing people to surrounding counties in my opinion."

Coucilman C.C. Calhoun voted in favor of the tax, "What we did was brought it up to surrounding cities...Mobile, Huntsville, Birmingham and it's something we hadn't adjusted in like 40 years."

Calhoun says the new revenue that will be generated will go to the capital improvement account. Money set aside to do things like pave streets and imprve infrastructure in the city. The city council also looked into actions including denying the retail beer and wine license to the Hookah Bar Lounge on Atlanta Highway.

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