Alabama Lodging Tax Calculator.
State rate 4%. Local add-ons 0% – 7%.
State rate: 4% · Alabama Department of Revenue · verified 2026-05-05
Estimate only. State and local rates change. Confirm with the Alabama Department of Revenue before relying on it for filing or pricing.
How Alabama lodging tax works
Alabama stacks two or three components on short-term rental stays under 180 consecutive days:
- 4% state lodging tax — Alabama charges a dedicated lodging tax instead of applying sales tax to rooms. Rate is 5% in 16 “mountain lakes region” counties.
- County lodging tax — most counties layer on 1–6% more.
- City lodging tax — major tourist cities add their own 4–7% on top.
Effective rates in Alabama’s top STR markets:
- Gulf Shores (Baldwin County): 4% state + 2% Baldwin County + 7% Gulf Shores city = ~13%
- Orange Beach (Baldwin County): 4% + 2% county + 7% Orange Beach = ~13%
- Fort Morgan (Baldwin County): 4% + 2% Baldwin = ~6% (no city tax in unincorporated areas)
- Birmingham (Jefferson County): 4% + 3% Jefferson + 6.5% Birmingham = ~13.5%
- Mobile (Mobile County): 4% + 2% Mobile County + 8% Mobile city = ~14%
- Huntsville / Madison: 4% + 2% Madison + 9% Huntsville lodging = ~15%
Baldwin County (Gulf Coast) is the volume center for STR in Alabama. Combined ~13% there is roughly average for US beach markets.
Platform collection
Airbnb and Vrbo collect and remit the 4% state lodging tax in most cases. County and city lodging taxes are uneven — Baldwin County and the cities of Gulf Shores, Orange Beach, Birmingham, and Mobile typically have platform-collection agreements, but smaller counties and inland cities frequently require the host to register and remit directly.
The Alabama Department of Revenue tracks current coverage. Many cities also self-administer through MAT (My Alabama Taxes) or a local third-party administrator.
What this means in practice
- For state lodging tax — handled by Airbnb and Vrbo.
- For county and city lodging tax — register with the city revenue department (Gulf Shores, Orange Beach, Mobile, Birmingham all run their own) or through MAT for county-administered taxes. File monthly returns, remit yourself if the platform doesn’t cover.
- For direct bookings — handle every layer yourself.
- 180+ continuous-day stays are exempt from Alabama state lodging tax. Most local lodging taxes follow the same threshold — verify locally.
- Alabama is unusual in that lodging tax replaces sales tax for rooms — guests are not also charged general sales tax on top, unlike states like Tennessee or Florida.
How to use the calculator above
- Enter your booking subtotal (nightly rate × nights + cleaning fee, before tax).
- Set the local add-on rate. Gulf Shores or Orange Beach = 9% (2% county + 7% city). Unincorporated Baldwin County = 2%. Birmingham = 9.5%. Mobile = 10%. Huntsville = 11%.
- Read the effective rate. The state’s 4% base + your local layer = the rate the guest sees.
Source: Alabama Department of Revenue. Verified 2026-05-11. Not tax advice — confirm with a CPA or your city revenue department before filing.