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Dothan 9% Sales Tax

The City of Dothan has a nine percent sales tax. That's what everyone pays when they purchase even the smallest of items.

City officials say every one of those nine pennies is needed.

"We have a two hundred million dollar budget; our police department take a lot of money to run our police department, our fire department," says Mayor Mike Schmitz.

And the nine pennies you pay when you buy an item at a convenience store, shopping for groceries or retail items all go to the Dothan general fund.

"The tax dollars goes into the roads, the infrastructure, the leisure services all of the parks that we have, so that's where our money goes," says Mayor Schmitz.

At the finance and accounting department in the Dothan civic center they are counting each penny and spending your tax dollars carefully.

"Here is some basic math to show you what the nine percent looks like, 4 percent go to the city of Dothan, while two percent go to the state, and three percent goes to Houston county."

According to the mayor our nine percent sales tax is right in line with surrounding areas.

"Enterprise is eight percent, I believe Ozark is nine percent, Montgomery is ten percent, so it doesn't drop, it’s just that every city has its own percentage."

That percentage is broken down in this pamphlet.

It's available to each tax payer to see how much revenue comes in and how much goes out in services.

Last month, the city collected four-point-five million dollars.

That's down a little less than one percent from the same time last year.

However for the year the city has collected a little more than 2-percent more sales tax than last year.


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