621 N Brindlee Mountain Pkwy, Arab, AL

Service Areas Tax Guide 256-586-4635

Cullman, Alabama

Cullman taxes: farms, factories and a German founder

Cullman is about 24 miles, or 35 minutes, from our office in Arab.  Below are some of the local questions we hear from farm families, plant and warehouse workers and small employers.

We have one office, in Arab.  We do not have an office in Cullman.

Founded by Johann Cullmann in 1873

Cullman, the Cullman County seat, was founded in 1873 by Johann Cullmann, who brought German families down from Cincinnati.  The town still celebrates that heritage with Oktoberfest every October, and the Ave Maria Grotto at St. Bernard Abbey draws visitors to see its miniature reproductions of famous buildings.[2]

The county’s farms raise poultry, beef cattle, sweet potatoes, nursery plants and corn, while the town’s larger employers include auto-parts makers, a poultry processor, a distribution center and the regional hospital.  That balance of farm and town work means many households bring us a mix of farm records, W-2s and small-business books, sometimes all on the same return.[3,4]

What Cullman returns often include

  • Farm income: poultry and cattle are central to the county’s agriculture.[3]

  • Factory and warehouse wages: auto suppliers and a distribution center are among the top employers.[4]

  • 18,213 people lived in the city at the 2020 Census.[1]

The Ave Maria Grotto at St. Bernard Abbey, Cullman
Ave Maria Grotto, Cullman

Cullman questions

This is general information, not advice for your return.  Every return is different, so please call us to talk about yours.

We run a few head of cattle on top of our day jobs.  Is that a farm for tax purposes?

It can be, if you run it to make a profit: sales, feed, vet bills and fencing go on a farm schedule.  If it is more of a hobby, the rules are much less generous.  The difference matters, so bring your records and we will go through them with you.

Income tax services

Do I pay sales tax on feed and fertilizer?

Alabama exempts farm inputs such as livestock feed, fertilizer, insecticides and seed from sales tax.  Your supplier will usually ask you to sign an exemption form.[5]

I supply parts to one of the plants as a small subcontractor.  What about payroll?

Once you have employees, you need an Alabama withholding account plus federal payroll filings every quarter.  We can run the payroll and keep the books so the quarter-end filings are not a scramble.

Payroll and bookkeeping

Cullman to Arab in about 35 minutes

Call 256-586-4635 to set a time, and we will talk with you about what to bring.