Alabama Says No to Increased Rental Car Tax

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If you think all that legislators know how to do is raise taxes, then you might be surprised to hear about what happened recently in Alabama. Lawmakers there actually voted down a proposal that would have raised the car rental tax by three percent to help pay for a convention center in Birmingham. Rental car taxes, especially for airport rentals, have long been a favorite target of legislators who know that most of the people who would be paying the tax will be coming from outside of the area, and thus not going to be registered voters in their district. So it’s a nice surprise that Alabama lawmakers said no to this increased tax.

The result is even more surprising when you consider that the rental car tax is Birmingham is currently just 2.25 percent, compared to taxes that are around 15 percent in other cities in the region like Charlotte, Nashville and Memphis. It’s important to consider the extra taxes and fees when trying to compare rental car rates to find the best deal. At RentACarNow.com, we make it easy to do just that by showing you all the lowest rates, including estimated taxes and fees, for all the top rental car companies.

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