Home arrow NewsBreak arrow State and Locals Need to Share Info
State and Locals Need to Share Info
Monday, 27 December 2010

December 27--  Millions of dollars in uncollected sales taxes are hurting the treasuries of Georgia, local governments and school districts.

Paul Radford with the Georgia Municipal Association says its an issue the GMA has been working on for some time.

"When you go into a business and do a transaction that involves a sales tax, you expect that sales tax to go to the purpose for which it was collected.  If we can close the loophole, there's an estimate of between $500 million and $1 billion in sales taxes that have been paid but are not making it to state government.  If we can capture that revenue, we can actually increase the amount of money which is making it to cities, counties and schools without any tax increase," Radford says.

According to Radford, a pilot project in Gainesville-Hall County found major discrepancies between local and state records.  "They found there was up to a 30 percent difference between what the state Department of Revenue data base looked like and what the local government occupation tax data base looked like and it worked both ways.  There were a lot of businesses that had sales tax certificates but which had not paid their occupation taxes, and there were a like number of potential sales tax entities that had business and occupation certificates in Gainesville-Hall County which were not on the Department of Revenue's sales tax certificate list."

The GMA says the legislature passed a bill last year requiring local governments to report all of their business occupation tax data to the state, however, he says it needs to  also require the Georgia Department of Revenue to share its sales tax collection data with local governments.

Radford says Governor-elect Nathan Deal supported such information sharing in his campaign and he's hopeful some progress will be made when the legislature convenes in January. 

< 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