07 LC 14
9670
House
Bill 585
By:
Representatives Burkhalter of the
50th,
Harbin of the
118th,
Coan of the
101st,
Everson of the
106th,
May of the
111th,
and others
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Title 36 of the Official Code of Georgia Annotated, relating to local
government, so as to provide for the elimination of ad valorem property taxes on
qualified motor vehicles over a four-year period; to provide for qualified motor
vehicle tax relief grants; to provide for definitions; to provide for
procedures, conditions, and limitations; to provide for powers, duties, and
authority of the state revenue commissioner; to provide for related matters; to
provide for an effective date; to repeal conflicting laws; and for other
purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Title
36 of the Official Code of Georgia Annotated, relating to local government, is
amended by adding a new chapter to read as follows:
"CHAPTER
89A
36-89A-1.
As
used in this chapter, the term:
(1)
'County millage rate' means the net ad valorem tax millage rate levied by a
county for county purposes and applying to qualified motor vehicles in the
county, including any millage levied for those special districts reported to and
received by the state revenue commissioner, but not including any millage levied
for purposes of bonded indebtedness and not including any millage levied on
behalf of a county school district for educational purposes.
(2)
'Eligible assessed value' means a certain stated amount of the assessed value of
each qualified motor vehicle in the state. The assessed value of qualified
motor vehicles shall be determined pursuant to the uniform evaluation of motor
vehicles prepared pursuant to Code Section 48-5-442. The amount of the eligible
assessed value for any given year shall be fixed in that year´s General
Appropriations Act.
(3)
'Fiscal authority' means the individual authorized to collect ad valorem taxes
for a county or municipality which levies ad valorem taxes.
(4)
'Municipal millage rate' means the net ad valorem tax millage rate levied by a
municipality for municipal purposes and applying to qualified motor vehicles in
the municipality, including any millage levied for those special tax districts
reported to and received by the state revenue commissioner, but not including
any millage levied for purposes of bonded indebtedness and not including any
millage levied on behalf of an independent school district for educational
purposes.
(5)
'Qualified motor vehicle' means a motor vehicle owned by a natural person and
used primarily for personal use.
(6)
'School millage rate' means the net ad valorem tax millage rate levied on behalf
of a county or independent school district for educational purposes and applying
to qualified motor vehicles in the county or independent school district, not
including any millage levied for purposes of bonded indebtedness and not
including any millage levied for county or municipal purposes.
(7)
'State millage rate' means the state millage levy.
36-89A-2.
Each
year, the General Assembly shall appropriate funds for qualified motor vehicle
tax relief grants to counties, municipalities, and county or independent school
districts pursuant to and in furtherance of the provisions of Article III,
Section IX, Paragraph II(b) and Article VII, Section III, Paragraph III of the
Constitution.
36-89A-3.
(a)
It is the intent of the General Assembly to annually appropriate to the
Department of Revenue funds to provide qualified motor vehicle tax relief grants
to counties, municipalities, and county or independent school districts. The
General Appropriations Act shall specify the amount appropriated and the
eligible assessed value of each qualified motor vehicle in the state for the
specified tax year as follows:
(1)
For the period beginning July 1, 2009, and ending June 30, 2010, an eligible
assessed value of $3,000.00 or fair market value of $7,500.00;
(2)
For the period beginning July 1, 2010, and ending June 30, 2011, an eligible
assessed value of $6,000.00 or fair market value of $15,000.00;
(3)
For the period beginning July 1, 2011, and ending June 30, 2012, an eligible
assessed value of $12,000.00 or fair market value of $30,000.00; and
(4)
For each subsequent 12 month period thereafter, the full assessed value of each
qualified motor vehicle.
(b)
If for any reason the amount appropriated in the General Appropriations Act is
insufficient to fund the eligible assessed value stated in the General
Appropriations Act, the amount appropriated may be adjusted in amendments to the
General Appropriations Act or if the amount appropriated is not so adjusted
there shall be a corresponding reduction in the eligible assessed
value.
36-89A-4.
(a)(1)
Pursuant to the appropriation of funds as provided in Code Section 36-89A-3,
such grants shall each month be allotted to each county, municipality, and
county or independent school district in the state as follows:
(A)
Immediately following the actual preparation of ad valorem property tax bills,
each county fiscal authority shall notify the Department of Revenue of the total
amount of tax revenue which would be generated by applying the sum of the state
and county millage rates to the eligible assessed value of each qualified motor
vehicle taxable by the county. The total amount of actual tax credits, so
calculated, given to all qualified motor vehicles in the county shall be the
amount of the grant to that county;
(B)
Immediately following the actual preparation of ad valorem property tax bills,
each county or independent school district´s fiscal authority shall notify
the Department of Revenue of the total amount of tax revenue which would be
generated by applying the school millage rate to the eligible assessed value of
each qualified motor vehicle taxable by or for the county or independent school
district. The total amount of actual tax credits, so calculated, given to all
qualified motor vehicles in the county or independent school district shall be
the amount of the grant to that county or independent school district;
and
(C)
Immediately following the actual preparation of ad valorem property tax bills,
each municipality´s fiscal authority shall notify the Department of Revenue
of the total amount of tax revenue which would be generated by applying the
municipal millage rate to the eligible assessed value of each qualified motor
vehicle taxable by the municipality. The total amount of actual tax credits, so
calculated, given to all qualified motor vehicles in the municipality shall be
the amount of the grant to that municipality.
(2)
Credit amounts computed under paragraph (1) of this subsection shall be applied
to reduce the otherwise applicable tax liability on a dollar-for-dollar basis,
but the credit granted shall not in any case exceed the amount of the otherwise
applicable tax liability.
(b)
The grant of funds to each county shall be conditioned on the county´s
fiscal authority reducing each qualified motor vehicle´s otherwise
applicable liability for county taxes for county purposes by a credit amount
calculated in subparagraph (a)(1)(A) of this Code section.
(c)
The grant of funds to each county or independent school district shall be
conditioned on the county or independent school district´s fiscal authority
reducing each qualified motor vehicle´s otherwise applicable liability for
school taxes by a credit amount calculated in subparagraph (a)(1)(B) of this
Code section.
(d)
The grant of funds to each municipality shall be conditioned on the
municipality´s fiscal authority reducing each qualified motor
vehicle´s otherwise applicable liability for municipal taxes by a credit
amount calculated in subparagraph (a)(1)(C) of this Code section.
(e)
Each motor vehicle ad valorem tax receipt shall show the total reduction as a
result of the credits, together with a prominent notice in substantially the
following form: 'This reduction in your bill is the result of qualified motor
vehicle tax relief enacted by the Governor and the General Assembly of the State
of Georgia.'
36-89A-5.
(a)
The state revenue commissioner shall administer this chapter and shall adopt
rules and regulations for the administration of this chapter, including specific
instructions to local governments. The state revenue commissioner may adopt
procedures for partial or installment distribution of grants when the
commissioner determines that a full distribution will only result in the
necessity of return of funds under subsection (b) of this Code
section.
(b)
If any excess funds remain from the funds granted to any county, municipality,
or county or independent school district under this chapter, after the county,
municipality, or county or independent school district complies with the credit
requirements of Code Section 38-89A-4, such excess funds shall be returned by
the county, municipality, or county or independent school district to the
Department of Revenue.
36-89A-6.
Any
credit under this chapter which is erroneously or illegally granted shall be
recoverable by the political subdivision granting such credit in the same manner
as any other delinquent tax."
SECTION
2.
This
Act shall become effective on January 1, 2009.
SECTION
3.
All
laws and parts of laws in conflict with this Act are repealed.