The Alabama Education Association (AEA) filed a suit in the litigation challenging Alabama's Simplified Sellers Use Tax (SSUT) on Wednesday.

The SSUT is an 8% tax applied to online and other remote sales by sellers without a physical presence in Alabama.

As online commerce has surged, SSUT revenues have grown dramatically, exceeding $851 million statewide in 2024, according to the Alabama Department of Revenue. Despite this growth, Alabama's schools continue to receive a "disproportionately small share of these funds," according to the AEA.

"The current application of the SSUT shortchanges Alabama's local schools," said Theron Stokes, AEA associate executive director. "Allowing remote sellers to remit the SSUT instead of remitting traditional state and local sales taxes diverts millions

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