Judge rules in favor of schools in Morgan County sales tax dispute

A law that went into effect in late 2019 gives most online sales tax revenue to schools. The Morgan County Commission called this unconstitutional.

Posted: Mar 4, 2020 12:31 PM
Updated: Mar 6, 2020 8:13 AM

An Alabama judge ruled on Tuesday that the bulk of online sales taxes received by the Morgan County Commission must be disbursed to school districts in the county.

Morgan County Commission Chairman Ray Long and a representative with the Alabama Education Association confirmed the ruling.

A law that went into effect in late 2019 gives most online sales tax revenue to schools. The Morgan County Commission called this unconstitutional, and commissioners said they wouldn’t disperse the $1 million as the law requires.

The judge ordered the online sales tax funds that had been held in escrow and future online sales tax funds must be distributed in accordance with the law.

Long said the commission will decided in the next few days what the next step will be but said appealing the decision is an option.

Read our previous story here.

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