State of Georgia Sales Tax The 2016 Georgia State Sales Tax

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What is the 2016 Georgia Sales Tax Rate?

Georgia Sales Tax Rate

4.00%

2016 Georgia state sales tax
Exact tax amount may vary for different items

The Georgia state sales tax rate is 4%, and the average GA sales tax after local surtaxes is 6.96%.

  • Counties and cities can charge an additional local sales tax of up to 4%, for a maximum possible combined sales tax of 8%
  • Georgia has 961 special sales tax jurisdictions with local sales taxes in addition to the state sales tax
  • Georgia has a lower state sales tax than 53.8% of states

Groceries are exempt from the Georgia state sales tax, can still be subject to local sales taxes. There are also a variety of exceptions to the Georgia sales tax available to businesses and industries, which can be obtained by applying for a Georgia sales tax exemption form.

Georgia usually has two sales tax holidays throughout the year, one at the beginning of August meant for back-to-school shopping and one in October for Energy Star rated home appliances. These tax holidays must be authorized each year by the state government.

If you are a Georgia business owner, you can learn more about how to collect and file your Georgia sales tax return at the 2016 Georgia Sales Tax Handbook .

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Georgia Sales Tax Exemptions

Georgia does not exempt any types of purchase from the state sales tax. Groceries is subject to special sales tax rates under Georgia law. In most states, necessities such as groceries, clothes, and drugs are exempted from the sales tax or charged at a lower sales tax rate.

Some items may not be eligible for these reduced sales tax rates, such as expensive clothing, unhealthy food or drinks like soda, and certain non-essential pharmaceuticals. Unlike many states, Georgia treats both candy and soda as groceries for sales tax purposes. Other items including gasoline, alcohol, and cigarettes are subject to various Georgia excise taxes in addition to the sales tax.

Georgia has five sales tax holidays, during which certain items can be purchased sales-tax free. For more details, see the Georgia sales tax holiday calendar.

In some states, items like alcohol and prepared food (including restaurant meals and some premade supermarket items) are charged at a higher sales tax rate. The GA sales tax applicable to the sale of cars, boats, and real estate sales may also vary by jurisdiction. Georgia's sales tax rates for commonly exempted items are as follows:

Groceries: 3% Clothing: 4% Prepared Food: 4% Prescription Drugs: 4% Non-Prescription Drugs: 4%
Georgia sales tax for a restaurant meal
$100 Restaurant Dinner
Georgia sales tax for groceries
$100 of groceries
Georgia sales tax for clothing
$100 in clothes
Georgia sales tax for general consumer products
$100 of consumer products
$4.00 sales tax
$104.00 total
$3.00 sales tax
$103.00 total
$4.00 sales tax
$104.00 total
$4.00 sales tax
$104.00 total

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Georgia Sales Tax Exemption Certificate

Unlike a Value Added Tax (VAT), the Georgia sales tax only applies to end consumers of the product. Individuals and companies who are purchasing goods for resale, improvement, or as raw materials can use a Georgia Sales Tax Exemption Form to buy these goods tax-free.

Companies or individuals who wish to make a qualifying purchase tax-free must have a Georgia state sales tax exemption certificate, which can be obtained from the Georgia Department of Revenue . On making an exempt purchase, Exemption Certificate holders may submit a completed Georgia Sales Tax Exemption Form to the vendor instead of paying sales tax.

Sales tax exemption forms (as well as business sales tax id applications, sales tax returns, and the full Georgia sales tax code) can be downloaded from the Georgia Department of Revenue here .

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Georgia Sales Tax Calculator

 Sales Tax Calculator
Purchase Details:
$ in zip code Enter the zip code where the purchase was made for local sales tax

Whenever you make a purchase at a licensed Georgia retailer, your sales tax will be automatically calculated and added to your bill. To lookup the sales tax due on any purchase, use our Georgia sales tax calculator.

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Georgia Use Tax [View Main Article]

If you buy goods and are not charged the Georgia Sales Tax by the retailer, such as with online and out-of-state purchases, you are supposed to pay the 4% sales tax (less any foreign sales tax paid) for these items yourself as the Georgia Use Tax.

Your are expected to voluntarily list your liable purchases on a Georgia Use Tax Return, which should be attached with payment to your Georgia Income Tax Return. Historically, compliance rates with with the Georgia Use Tax have been low.

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Georgia Local Sales Taxes

Georgia does not allow local jurisdictions like cities or counties to collect a local sales tax. The Georgia state sales tax of 4% is applicable statewide. You can view the sales tax rates for various cities in Georgia here.


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