2023 CODE OF GEORGIA › Title 48 - REVENUE AND TAXATION (§§ 48-1-1 — 48-18-1) › Chapter 8 - SALES AND USE TAXES (§§ 48-8-1 — 48-8-278) › Article 2A - HOMESTEAD OPTION SALES AND USE TAX (§§ 48-8-100 — 48-8-109.24) › Part 1 - HOMESTEAD OPTION SALES AND USE TAX ACT (§§ 48-8-100 — 48-8-109) › Section 48-8-102 - Creation of special districts; levying of tax; use of proceeds of tax; restriction on levying taxes

(a)
Pursuant to the authority granted by Article IX, Section II, Paragraph VI of the Constitution of this state, there are created within this state 159 special districts. The geographical boundary of each county shall correspond with and shall be conterminous with the geographical boundary of one of the 159 special districts.
(b)
(1)
When the imposition of a local sales and use tax is authorized according to the procedures provided in this part within a special district, the county whose geographical boundary is conterminous with that of the special district shall levy a local sales and use tax at the rate of 1 percent, except as provided in paragraph (2) of this subsection. Except as to rate, the local sales and use tax shall correspond to the tax imposed and administered by Article 1 of this chapter. No item or transaction which is not subject to taxation by Article 1 of this chapter shall be subject to the sales and use tax levied pursuant to this part, except that the sales and use tax provided in this part shall be applicable to sales of motor fuels as prepaid local tax as such term is defined in Code Section
48-8-2
and shall be applicable to the sale of food and food ingredients and alcoholic beverages only to the extent provided for in paragraph (57) of Code Section
48-8-3
.
(2)
On or after July 1, 2015, such sales and use tax levied on sales of motor fuels as defined in Code Section
48-9-2
shall be at the rate of 1 percent of the retail sales price of the motor fuel which is not more than $3.00 per gallon.
(c)
(1)
Except as otherwise provided in paragraph (2) of this subsection, the proceeds of the sales and use tax levied and collected under this part shall be used only for the purposes of funding capital outlay projects and of funding services within a special district equal to the revenue lost to the homestead exemption as provided in Code Section
48-8-104
and, in the event excess funds remain following the expenditure for such purposes, such excess funds shall be expended as provided in subparagraph (c)(2)(C) of Code Section
48-8-104
.
(2)
Prior to January 1 of the year immediately following the first complete calendar year in which the sales and use tax under this part is imposed, such proceeds may be used for funding all or any portion of those services which are to be provided by the governing authority of the county whose geographic boundary is conterminous with that of the special district pursuant to and in accordance with Article IX, Section II, Paragraph III of the Constitution of this state.
(d)
Such sales and use tax shall only be levied in a special district following the enactment of a local Act which provides for a homestead exemption of an amount to be determined from the amount of sales and use tax collected under this part. Such exemption shall commence with taxable years beginning on or after January 1 of the year immediately following the first complete calendar year in which the sales and use tax under this part is levied. Any such local Act shall incorporate by reference the terms and conditions specified under this part. Any such local Act shall not be subject to the provisions of Code Section
1-3-4.1
. Any such homestead exemption under this part shall be in addition to and not in lieu of any other homestead exemption applicable to county taxes for county purposes within the special district. Notwithstanding any provision of such local Act to the contrary, the referendum which shall otherwise be required to be conducted under such local Act shall only be conducted if the resolution required under subsection (a) of Code Section
48-8-103
is adopted prior to the issuance of the call for the referendum under the local Act by the election superintendent. If such ordinance is not adopted by that date, the referendum otherwise required to be conducted under the local Act shall not be conducted.
(e)
No sales and use tax shall be levied in a special district under this part in which a tax is levied and collected under Article 2 of this chapter.
Amended by 2015 Ga. Laws 46,§ 5-9, eff. 7/1/2015.
Amended by 2015 Ga. Laws 45,§ 2, eff. 5/4/2015.
Amended by 2010 Ga. Laws 507,§ 22, eff. 7/1/2011.
Amended by 2009 Ga. Laws 8,§ 48, eff. 4/14/2009.
Amended by 2007 Ga. Laws 209,§ 6, eff. 1/1/2008.