Lee County, AL Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Tax rate
- 2% of the room or lodging charge
- Covers
- Hotels, motels, inns, tourist courts, similar lodging
- Exempt stays
- 30 or more continuous days
- Filing deadline
- 20th of month after tax accrues
- Late penalty
- 10% of tax due plus interest
- Collector
- State Department of Revenue
- Revenue use
- Auburn-Opelika Convention and Visitors Bureau
Summary
Lee County levies a 2 percent privilege tax on every room, lodging, or accommodation rented to a transient at a hotel, motel, inn, tourist court, or any other place regularly renting to transients, under Ala. Code § 45-41-242. Stays of 30 or more continuous days, and charges already hit by the state sales tax, are exempt.
In addition to all other taxes imposed by law, there is hereby levied a privilege or license tax in the amount hereinafter prescribed against every person engaging in Lee County in the business of renting or furnishing any room or rooms, lodging, or accommodations, to any transient in any hotel, motel, inn, tourist court, or any other place in which rooms, lodgings, or accommodations are regularly furnished to transients for a consideration. The amount of the tax shall be equal to two percent of the charge for such rooms, lodgings, or accommodations, including the charge for use of rental of personal property and services furnished in such room or rooms.
Full Breakdown
Section 45-41-242 levies a privilege or license tax equal to two percent of the room, lodging, or accommodation charge, including any charge for renting personal property or furnishing services along with the room, against anyone in Lee County renting rooms to transients at a hotel, motel, inn, tourist court, or any other place that regularly furnishes lodging to transients for pay. 01 exempts two categories from the tax: charges already captured by the state sales tax act, and charges for a room, lodging, or accommodation rented to the same person for 30 or more continuous days.
02, the tax is due to the State Department of Revenue by the 20th of the month after it accrues, and every taxpayer must file a monthly statement of the preceding month's gross taxable proceeds on the department's prescribed form; records must be kept for two years and stay open to state inspection. 03 folds in the state lodging tax's payment, assessment, collection, and rulemaking procedures wherever this county tax does not say otherwise, and the state Commissioner of Revenue administers the county tax with the same powers used for the state tax.
05, before certifying the balance due the county. 07, the proceeds fund the Auburn-Opelika Tourism bureau, and the county commission must deposit the tax revenue into a fund appropriated directly to the Auburn-Opelika Convention and Visitors Bureau.
Violations & Fines
Anyone who fails to pay the tax by the 20th of the month following when it accrued owes, on top of the tax itself, a penalty of 10 percent of the amount due, plus interest at the rate charged on the state lodging tax, both collected as part of the tax under Section 45-41-242.02. The State Department of Revenue can waive or remit the penalty for good and sufficient reason.
Frequently Asked Questions
What is the hotel tax rate in Lee County, Alabama?
Is a month-long stay taxed the same as a one-night stay?
Who collects the Lee County lodging tax and where does the money go?
What happens if a hotel operator pays the tax late?
Sources & Official References
Other rules in Lee County
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