Compilation of Rules and Regulations of the State of Georgia › Department 560 - RULES OF DEPARTMENT OF REVENUE › Chapter 560-12 - SALES AND USE TAX DIVISION › Subject 560-12-2 - SUBSTANTIVE RULES AND REGULATIONS › Rule 560-12-2-.19 - Carriers

Current through Rules and Regulations filed through June 27, 2024
(1) Common carriers
				purchasing tangible personal property which comes within the exemption
				authorized by Section
				 48-8-3(33)(A) 
				 of  the Act, as amended, must register the file Sales and Use Tax Reports as
				required under these Regulations.
(2) A common carrier must furnish each
				suppliers of exempt tangible personal property with a Certificate of Exemption
				(Form ST-5, as revised).
(3) The
				tax does not apply to aircraft, watercraft, railroad locomotives and rolling
				stock, motor vehicles, and major components of each, which will be used
				principally to cross the borders of the State of Georgia in the service of
				transporting passengers or cargo by common carriers in interstate or foreign
				commerce under authority granted by the Federal Government, or to replacement
				parts installed by such carriers in such aircraft, watercraft, railroad
				locomotives and rolling stock and motor vehicles which becomes an integral part
				thereof.
(4) The tax applies to
				aircraft, watercraft, railroad locomotives and rolling stock, motor vehicles
				and components of each and replacement parts installed by common carriers in
				such craft, locomotives, rolling stock and motor vehicles which will not be
				used principally to cross the borders of the State of Georgia in transporting
				passengers or cargo in interstate or foreign commerce under authority granted
				by the Federal Government.
(5)
				Common carriers operating craft or vehicles, some of which qualify for
				exemption and some of which are subject to the tax, may purchase major
				components and replacement parts for inventory under a Certificate of
				Exemption, Form ST-5. When such components or parts are withdrawn from
				inventory and first applied to taxable vehicles, the cost price thereof must be
				included in the carrier's Sales and Use Tax Report.
(6) Contract, private and other carriers must
				pay the tax on all tangible personal property used or consumed in their
				operations, irrespective of the fact that its craft or vehicles may cross the
				borders of the State of Georgia.
(7) Carriers, including common carriers,
				shall pay the tax on all fuels purchased and delivered in this State and all
				fuels purchased outside this State and stored in this State irrespective, in
				either case, of the place of subsequent use.
(8) The tax applies to purchases for use,
				consumption or storage within this State of tangible personal property used in
				constructing, repairing or maintaining permanent structures, including, but not
				limited to garages, repair shops, hangers, railroad bridges, railroad tracks,
				landing and communication equipment, tools and equipment, handling equipment
				and other tangible personal property not specifically exempt under paragraph
				three (3) of this regulation.
(9)
				The tax applies to charges for the transportation of persons between two points
				in Georgia. Such tax must be collected and remitted by the carrier. The tax
				does not apply to charges for transportation of persons between a point in
				Georgia and a point in another state.
(10) As set out in this section, the tax
				applies to meals, snacks, and all other food and beverage items which are
				purchased by a carrier or which are sold, dispensed or otherwise provided,
				during or in conjunction with a transportation service, to passengers
				purchasing transportation services.
(a)
				Carriers that provide complimentary meals, snacks, or other food or beverage
				items to passengers incidental to the primary service of transportation are the
				consumers of such items and shall pay the tax to the carrier's suppliers of all
				such items which are purchased by or delivered to the carrier's suppliers of
				all such items which are purchased by or delivered to the carrier in Georgia,
				regardless of where the meals, snacks, or other food or beverage items are
				served. Meals, snacks, and other food and beverage items provided to passengers
				by carriers are considered to be complimentary and are taxable under this
				paragraph when:
1. No separately stated charge
				for such items is made to the passenger in addition to the charge for the
				transportation, or when:
2. It is
				the carriers' normal business practice not to reduce the price of the
				transportation for passengers electing not to have food and beverage
				service.