Hoover has joined a growing coalition of Alabama cities challenging the state’s administration of the Simplified Sellers Use Tax (SSUT), following the Hoover City Council’s unanimous vote.

The action places Hoover alongside Mobile, Tuscaloosa and Mountain Brook in a legal effort arguing that Alabama’s current online sales tax distribution model diverts revenue away from communities that generate it.

Mayor Nick Derzis said the move to join the lawsuit addresses what he describes as significant revenue losses caused by the state’s population-based distribution formula.

“Hoover residents generate millions of dollars in online sales tax revenue every year, yet much of that money is being redistributed across the state instead of coming back home to support our own community,” Derzis said. “

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