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-.84 - Taxicabs

Current through Rules and Regulations filed through June 27, 2024
(1) Taxicab owners
				and operators. Any person owning and operating a taxicab or taxicabs shall
				register as a dealer and pay the tax at the time of purchase on tangible
				personal property used or consumed in the operations. Such purchases include
				taxicabs, meters, accessories, tires, repair parts, gasoline, lubricants,
				tools, and other supplies. Additionally, such person shall collect the tax on
				fares for the transportation of persons in accordance with the uniform bracket
				system and shall remit same to the State Revenue Commissioner.
(2) Taxicab operators leasing cabs to
				drivers. Any person leasing or renting taxicabs to others and supervising their
				operations must register as a dealer. Taxicabs, meters, accessories, repair
				parts, and tires exclusively for lease or rental should be purchased tax exempt
				under Certificates of Exemption. Other materials and supplies, including
				gasoline, lubricants, soaps, etc., used or consumed in connection with their
				operations are taxable at the time of purchase. Lessees or rentees of taxicabs
				and other tangible personal property shall be liable for a tax thereon at the
				rate of 4% of the gross lease or rental charges. Additionally, lessees or
				rentees of taxicabs shall collect the tax on fares for transportation of
				persons in accordance with the uniform bracket system. Said lessees or rentees
				shall pay the tax on charges for the lease or rental of tangible personal
				property and fares collected for transportation of persons to their lessors or
				renters and said lessors or renters shall remit same to the State Revenue
				Commissioner.
(3) Taxicab operators
				and lessors. Any person owning and leasing taxicabs which are operated
				partially by the owner and partially by the lessee shall register as a dealer
				and pay the tax at the time of purchase on tangible personal property used or
				consumed in the operations, including taxicabs, meters, accessories, tires,
				repair parts, gasoline, lubricants, and other supplies. Additionally, such
				lessors shall collect the tax on the gross lease or rental charges for taxicabs
				and equipment, and shall collect the tax on any tangible personal property sold
				to lessees. Lessees shall collect the tax on fares for transportation of
				persons in accordance with the uniform bracket system and pay such tax to the
				lessor for remittance to the State Revenue Commissioner.
(4) Taxicab "headquarters" operators. Any
				person operating a headquarters for taxicabs and supervising or directing
				taxicab drivers, or receiving and relaying calls to cab driver members, shall
				register as a dealer. Cab driver members operating from such headquarters shall
				pay the tax at the time of purchase, lease or rental, on all tangible personal
				property used or consumed in the operations. Additionally, such drivers shall
				collect the tax on fares for transportation of persons in accordance with the
				uniform bracket system and pay the same to the dealer operating the
				headquarters for remittance to the State Revenue Commissioner.
(5) Independent taxicab operators.
				Independent taxicab operators shall register as dealers and pay the tax at the
				time of purchase, lease or rental on all equipment, materials, and supplies
				used or consumed in the operations. Additionally, such persons shall collect
				the tax on fares for transportation of persons in accordance with the uniform
				bracket system and remit same to the State Revenue Commissioner.
(6) Cars for hire. For the purpose of this
				regulation, cars for hire are taxable in the same manner as taxicabs.
(7) Definitions.
(a) For purposes of this regulation the term
				"independent taxicab operator" means a person who is totally unassociated with
				any headquarters operation and with any lessors of taxicabs and with any other
				taxicab business or driver.
(b) Due
				to the likelihood that the State would otherwise lose tax funds due to the
				difficulty of policing the business operations of taxicab drivers because of
				the nature of the business, the lack of an office or regular place of business
				and the turnover of drivers, headquarters operators and lessors of taxicabs
				shall collect the tax on fares for transportation of persons from their drivers
				as required above, and the term "headquarters operators" includes not only any
				person operating a headquarters for taxicabs and supervising or directing
				taxicab drivers, or receiving and relaying calls to cab driver members, but
				also any person or entity allowing use of the trade name of the headquarters or
				allowing any driver to hold himself out as being associated with the
				headquarters. The term "taxicab lessors" includes any person or entity leasing
				a vehicle to another person or entity for use as a taxicab.