Measure Also Funds Trauma Care
ATLANTA— Today the Georgia House of Representatives passed House Bill 480 by a strong bi-partisan vote 133 to 39. The measure now moves to the state Senate for consideration.
“Removing the sales tax and the ad valorem tax on cars bought in this state will make automobiles more affordable for all Georgians,” said Rep. Harry Geisinger (R- Roswell). “This will rejuvenate the auto industry in Georgia and fund trauma care.”
House Bill 480 removes all ad valorem and sales taxes from automobiles purchased in Georgia after December 31, 2009. Instead, these vehicles will be subject to a one-time seven percent title fee based upon the value of the automobile being purchased, with a maximum fee of $2,000. All automobiles purchased prior to 2010 will continue to pay ad valorem taxes.
“Our analysis shows that 87% of all Georgians buying cars will save money over the current system,” said House Motor Vehicles Chairman Tom Rice (R- Norcross).
The annual ad valorem tax, also known as the “birthday tax” because it is typically due on the car owner’s birthday, has been a burden to Georgia car owners. By replacing this tax with a one time fee, Georgia will remove this provision and close legal loopholes that have allowed many auto buyers the opportunity to get around sales taxes. This measure will also raise $100-150 million for trauma care in Georgia.
“A vote against this bill today was a vote against less government and lower taxes,” said House Majority Leader Jerry Keen. “This is just another example of how out of touch House Democratic Leadership is with mainstream Georgians.”
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Representative Harry Geisinger represents the citizens of District 48, which includes portions of Fulton County. He was first elected into the House of Representatives in 1969-1974, and was then was sworn in again in 2007. He currently serves as the Vice-Chairman of the Energy, Utilities & Telecommunications Committee. He also serves on the MARTOC, Natural Resources & Environment, and Transportation committees.