Local Government Services Division Ellen Mills, Director

Georgia Department of Revenue

Local Government Services DivisionEllen Mills, Director

Georgia Certification Program Public Utility Digest Compliance Distributions TAVT

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Georgia Certification Program

Online Continuing Education Education Steering Committee CAVEAT Short Course New Tax Commissioners


8 Hrs: (July 1)

Board of Equalization Annual Update

Online Continuing Education Credit

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4 hrs each: (July 1)

County Hearing Officer Appeals

Specialized Assessments

Exempt Property

IAAO171 Standards (7)452 Ratio Study (18.5)801 Site Analysis (10)802 Cost (10)803 Sales Comp. (10)804 Income (10)805 Residential (10)808 Mathematics (15)810 Real Property (15)811, 812 & 859 - GIS


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GDOR-GAAO Education Steering Committee

2017-2018 Training Schedule:

Centralize class locations based on GIS analysis

Cluster class offerings


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2016 CAVEATUGA Center for Continuing Education

May 17, 18, 19

Legislation Court CasesBTA AutonomyAgriculture in GABig Box Dark StoresAppeals ProcedureIncome ApproachEthicsGIS


2016 SHORT COURSEMacon Convention Center

November 7 - 11

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New Tax Commissioner Training (44-65)

December 12-16, 2016

40 hours

UGA Continuing Ed Center

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Pending Appeals 2016 Digest Windstream

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Public Utility Section


Bellsouth Telecommunications (2012, 2013, 2014, 2015) C-Beyond (2015)CSX Railroad (2015)Air Tran (2014)Express Jet (2014, 2015)American (2014, 2015)Envoy Air (2014, 2015)US Air (2014, 2015)

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Public Utility Appeals


Returns due March 1 extensions granted April 1

Return entry and review Proposed Valuations Presentation to State Board of

Equalization

Digest due to counties August 1

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2016 Public Utility Digest


Asking AG for advice regarding whether the assets owned by the REIT should be centrally assessed.

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Windstream deed transfers?


Digest Compliance Section

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Regulations & Forms Digest Submission Digest Reviews,

Audits, PRBs


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HB202 - Regulations


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HB202 - Forms


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Current Use Table of Value - Regulations


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2016 Digest Submission

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Board of Assessors must submit digest to county tax commissioner by July 15thCounty tax commissioner must submit digest for approval to Revenue Commissioner by September 1st

OCGA 48-5-205


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CONSOLIDATION SHEETS

Although, the 2016 state levy will be zero, each county must provide a State Consolidation Sheetwith appropriate state exemptions.

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House Bill 202 Section 7Five Year History and Current Digest PublicationOCGA 48-5-32 publication of Current Digest and Five Year History shortened from two weeks to one week prior to meeting. Also requires that advertisement be posted on authoritys website

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Notice of Tax IncreaseOCGA 48-5-32.1

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Within 10 days of expiration of the 30 day appeal period to superior court the board of tax assessors shall forward final determination of value to the tax commissioner

House Bill 202 Section 15Amending Appeal Code OCGA 48-5-311

Appeal Final Decision to Tax Commissioner

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At final billing, if refund owed to taxpayer Interest calculated from the due date or date paid, whichever later, through the date on which the final determination of value is made subject to the $150 and $5,000 limits for homestead and non-homestead property

Any refund paid after 60th day of final determination of valueshould include interest at 1% per month not subject to $150 and $5,000 limit


Interest Refund Owed to Taxpayer

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At Final billing, if additional tax due from taxpayer taxpayer is given 60 days from date of postmark to pay additional tax due without any interest added

Once 60 day payment period is expired bill is considered past due and interest accrues at 1% a month from original billing due dateuntil bill is paid in full


Interest Additional Tax Due

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Digest Review, Audits, Performance Review

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2016 PRB Spalding County Hart County

Digest Review 2014 sales ratio

study indicated nearly perfect compliance

2015 sales ratio study includes adjusted sales

FLPA Audits DOAA performance audit of GDOR FLPA Audits currently underway 2016 Regulations in the works


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Funds collected by GDOR distributed to Locals:

MonthlySales Tax $400 million

AnnualE-911 Prepaid Wireless Fee $15 million IRP Alternate Ad Valorem Tax $16 million Forest Land Assistance Grants $30 million

Distributions Section


Sales Tax: Relevant to Local Governments

L Local Option Sales Tax (LOST)H Homestead Option Sales Tax (HOST)M Rapid Transit Sales Tax (MARTA)S Special Purpose Local Option Sales Tax (SPLOST)T Transportation (TSPLOST)E Education Local Option Sales Tax (ELOST) O Other: Municipal Local Option Sales Tax (MOST)

2nd LOST for Muscogee2nd LOST for Towns

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http://www.bing.com/images/search?q=image+of+point+of+sale&id=4885B07CB66155D136AF92D7C008E32261FDF56A&FORM=IQFRBAhttp://www.bing.com/images/search?q=image+of+point+of+sale&id=4885B07CB66155D136AF92D7C008E32261FDF56A&FORM=IQFRBA


Local Option Sales Tax (LOST)

Authority: O.C.G.A. 48-8-80 through 48-8-96

Purpose: County and qualifying municipalities share tax revenues to fund services

Distribution: Based on Certificates of Distribution signed by county and cities

147 counties impose a LOST (October 2015)30

PresenterPresentation NotesAuthority: new section 48-8-96 adds certain Consolidated Governments ability to increase rate 1% to 2%

Purpose: from 48-8-89(a)(2)

Distribution: from 48-8-89(b); -dollars distributed to county and cities based on such certificates-can re-negotiate certificates at any time, but must be re-negotiated every 10 years (census)

7 Other counties impose a Constitutional education sales tax that is permanent; these are counted as if they had a LOST, plus Towns 2nd LOST for a total of 154 counties.


LOST: Qualifying Municipalities O.C.G.A. 48-8-80

Must impose a tax and provide at least three of the following services:Water SewageGarbage collection Police Fire Library

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Homestead Option Sales Tax(HOST)


Purpose: to fund county services equal to revenues lost due to homestead exemptions and for capital outlay projects

Distribution: county only

2 counties impose HOSTImposed until voted to cease

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PresenterPresentation NotesCant impose HOST if county already has a LOST per 48-8-102(e)

DeKalb and Rockdale only 2 counties

First imposed July 1997


Rapid Transit Sales Tax(MARTA)

Authority: Georgia Laws, 1964, page 1008, continuation of amendment under Article XI, Section I, Paragraph IV(d) of the Georgia Constitution

Purpose: to fund rapid transit

Distribution: MARTA only

3 counties impose MARTA taxImposed until voted to cease

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PresenterPresentation NotesCant impose HOST if county already has a LOST per 48-8-102(e)

DeKalb and Rockdale only 2 counties

First imposed July 1997


Special Purpose Local Option Sales Tax (SPLOST)


Purpose: to fund capital outlay projects

Distribution: county only

152 counties impose a SPLOST (October 2015)Imposed for up to 6 years

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PresenterPresentation NotesPurpose: capital projects to include road, street and bridge projects (HB 709)

Imposition of 5 years generally, but can be 6 years under conditions

To continue, county must hold referendum more than 80 days prior to end of tax imposition. Since county can only hold referendums on about 3 or 4 dates during the year, county must plan these more than 1 year from tax ceasing.



Purpose: Fund regional/local transportation projects

Distribution: Georgia State Financing and Investment Commission (began January 2013)

46 counties impose TSPLOST (3 regions)Imposed for 10 years or until maximumdollar amount, whichever occurs first

Transportation Special Purpose Local Option Sales Tax (TSPLOST)

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PresenterPresentation NotesDistribution: 48-8-249: (b)The commission shall delegate the management of the budget, schedule, execution, and delivery of the projects contained in the approved investment list as follows:(1)The commission shall contract with the Department of Transportation for all transportation projects except bus and rail mass transit systems and passenger rail in any special district the boundaries of which are not wholly contained within a single MPO; and(2)The commission shall contract with the Georgia Regional Transportation Authority only for projects that are bus and rail mass transit systems and passenger rail within any special district the boundaries of which are wholly contained within a single MPO.


Authority: O.C.G.A. 46-5-121 and 46-5-134.2

Purpose: Provide for imposition, collection and distribution of prepaid 9-1-1 charges

Distribution: Based on population (2012 - first distribution)

156 counties and 22 cities receive distribution (Oct 2015)About $17 million distributed to local governments

Prepaid Wireless 911 Fees

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PresenterPresentation NotesCharlton, Crawford and Johnson counties not currently participating


Distribution only to those counties and cities that: Operate a public safety answering point Impose by ordinance or resolution a prepaid

wireless charge of 75 cents per transaction File a copy of ordinance or resolution with the

Department of Revenue, Office of Legal Affairs and Tax Policy

Prepaid Wireless E-911 Fees: Imposing the Fee

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Authority: O.C.G.A. 48-5A-1 through 3

Purpose: Assistance grant to offset revenue loss from forest land conservation use valuation

Distribution: Annual

About $30 million distributed to local governments

Forest Land Assistance Grants (FLAG)

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Authority: O.C.G.A. 40-2-156

Purpose: Provide for imposition, collection, and distribution of AAVT on commercial trucks registered under the International Registration Plan (IRP)

Distribution: Based on benchmark and vehicle ratio formula detailed in statute

About $15 million distributed to local governments

Alternative Ad Valorem Tax

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Alternative Ad Valorem Tax (AAVT)

SB82 Amended OCGA 40-2-152 by providing for a new distribution formula for AAVT (Alternative Ad Valorem Tax) proceeds collected by DOR on IRP vehicles.

2015 collections: $15,344,871.011% Admin Fee to State

($153,448.56)

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First distribution August 1, 2015

AAVT distributed based on the qualified 2013 benchmark ad valorem tax ($9,132,170.06) for IRP vehicles

Year 2015 100% Year 2016 80%Year 2017 60%Year 2018 40%Year 2019 20%

AAVT: Benchmark Formula

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Tag registration, title application, tax collection, accounting, and disbursement functions are managed through the

GA Registration and Title Information System (GRATIS)

Motor Vehicle Title Ad Valorem Tax Georgia Registration and Title Information System (GRATIS)

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TAVT: Pay Tax at County Tax Commissioners Office

A motor vehicle purchaser must make title application and pay TAVT to their home county of registration

Apply for title and pay TAVT (7%) Pay title application fee ($18) Pay registration renewal fee ($20)

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TAVT: Distribution

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Chart1

57

3

13.333

13.333

13.333

Distribution

Sheet1

Distribution

State57

Local - Ad Valorem True-Up3

Board of Education13.333

Local Government - LOST13.333

Local Government - SPLOST13.333

To resize chart data range, drag lower right corner of range.

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TAVT: Target Amounts

State Target Amount Adjusts the Tax Rate being charged

Local Target Amount Adjusts how the Tax Split is calculated

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TAVT: Tax Rates and Tax SplitTax Year Tax Rate State % Local %

2013 6.5% 57% 43%

2014 6.75 55% 45%

2015 7% 55% 45%

2016* 7% 53.5% 46.5%

2017* 7%

2018* 7%

2019* ?

2020* ?

2021* ?

2022 forward* ?47


TAVT: Local Target Amount

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TAVT State Target Amount

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TAVT: Tax Rates and Tax SplitTax Year Tax Rate State % Local %

2013 6.5% 57% 43%

2014 6.75 55% 45%

2015 7% 55% 45%

2016* 7% 59.45% 40.55%

2017* 7%

2018* 7%

2019* ?

2020* ?

2021* ?

2022 forward* ?50


Thank-you!

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Slide Number 1Slide Number 2Online Continuing Education CreditSlide Number 4Slide Number 52016 SHORT COURSEMacon Convention CenterNovember 7 - 11New Tax Commissioner Training (44-65)Slide Number 8Slide Number 9Slide Number 10Slide Number 11Digest Compliance SectionSlide Number 13Slide Number 14Slide Number 15Slide Number 16Slide Number 172016 Digest SubmissionSlide Number 19 CONSOLIDATION SHEETSHouse Bill 202 Section 7 Five Year History and Current Digest PublicationSlide Number 22Notice of Tax IncreaseOCGA 48-5-32.1House Bill 202 Section 15Amending Appeal Code OCGA 48-5-311Appeal Final Decision to Tax CommissionerHouse Bill 202 Section 15Amending Appeal Code OCGA 48-5-311Interest Refund Owed to TaxpayerHouse Bill 202 Section 15Amending Appeal Code OCGA 48-5-311Interest Additional Tax DueDigest Review, Audits, Performance ReviewDistributions SectionSales Tax: Relevant to Local GovernmentsLocal Option Sales Tax (LOST)LOST: Qualifying Municipalities O.C.G.A. 48-8-80Homestead Option Sales Tax (HOST)Rapid Transit Sales Tax (MARTA)Special Purpose Local Option Sales Tax (SPLOST)Transportation Special Purpose Local Option Sales Tax (TSPLOST)Prepaid Wireless 911 FeesPrepaid Wireless E-911 Fees: Imposing the FeeForest Land Assistance Grants (FLAG)Alternative Ad Valorem TaxAlternative Ad Valorem Tax (AAVT)AAVT: Benchmark FormulaSlide Number 42Tag registration, title application, tax collection, accounting, and disbursement functions are managed through the GA Registration and Title Information System (GRATIS)TAVT: Pay Tax at County Tax Commissioners OfficeTAVT: DistributionTAVT: Target AmountsTAVT: Tax Rates and Tax SplitTAVT: Local Target AmountTAVT State Target AmountTAVT: Tax Rates and Tax SplitThank-you!

Documents

Local Government Services Division Ellen Mills, Director