Home arrow NewsBreak arrow One Time Car Tax Starts March 1
One Time Car Tax Starts March 1
Thursday, 21 February 2013

February 21--  If you buy a car from anybody after March 1st, you have to pay a new 6.5% one time title ad valorem tax.

The Georgia Department of Revenue is implementing the new Georgia law, according to Commissioner of Revenue Doug McGinnity.

"I think as most people know now, when you buy a car you usually pay sales tax and every year you get an ad valorem tax bill from your county.  After March 1 of this year, that system is going to change and both of those taxes are going away.

Instead, anytime a car is purchased, whether its new or used, whether from a friend or a dealer, you're going to pay a new tax known as a title ad valorem tax. Once you pay that tax, you're done.  You won't get that ad valorem tax bill anymore, but there will be a yearly registration you'll have to pay, but that ad valorem tax will go away for any car bought after March 1.  

All the cars you owned before March 1 can stay on the old system.  So there will be two systems here in Georgia.  The old system everyone is used to and the new system which goes in place March 1," McGinnity explains.

The value of the vehicle will not based on what you paid, but on the blue book value as determined by the Department of Revenue.

If you finance the vehicle, Toombs County Tax Commissioner Brenda O'Neal Williams says the 6.5% tax will be rolled into the purchase price.

"I assume all these dealerships are going to collect this money that is owed and they'll bring it down here at one time.  If you buy a $50,000 car and your taxes are "X" number of dollars, they're going to bring all that to us at one time and you can come down and purchase your tag.  If you finance your car, and most people do now, they will finance that amount in with your payment," she believes.

For more information on the new system, the Department of Revenue has a website, www.newtitletax.com , which gives details and answers frequently asked questions.

< Prev   Next >

Copyright © 2014 Southeast Georgia Today Web Portal
This Site is Best Viewed with Screen Resolution of 1024 X 768 Pixels
Website Design & Hosting by Red Wheeler Associates, LLC