Montgomery, Birmingham Have the Highest Sales Tax Rates in America

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By CBS-8 Reporter

Story Created: Apr 12, 2012 at 11:01 AM CDT

Story Updated: Apr 12, 2012 at 3:05 PM CDT

A conservative tax group called The Tax Foundation has ranked the 10% sales tax in Montgomery and Birmingham as the highest in the nation.

But Montgomery Mayor Todd Strange says that's because the property tax is so low. He would rather have the higher property tax as a major source of city income because it is more stable than the sales tax, and there have been two attempts to do so in the past, both of them failing.

Strange says, "It takes a vote of the people, 56-44, is about what its been the last two times we've tried. If we ever go down that road we would have to convince the people that we're going to take away a percentage of the sales tax in exchange for that ad valorum tax."

Click here to see The Tax Foundation report.
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