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BOARD OF COMMISSIONERS Regular Meetings February 5th at 9:00 a.m. February 19th at 6:30 p.m. Meetings held at: Administration Building Community Room 140 Henry Parkway McDonough, GA 30253 Commission meetings will air daily on Henry TV Channel 14, at 9 a.m., 2 p.m., & 7 p.m. 1 the henry county update January 31, 2013 Page 2 Page 4 Page 1 & 3 Page 4 Continued on Page 3 Tax reform legislation enacted by the Georgia General Assembly in 2012 created a new system for taxing motor vehicles registered in Georgia. As a result, the annual vehicle ad valorem tax, often called the “birthday tax,” will change to a state and local title ad valorem tax on March 1, 2013. The change is part of HB386, which is designed to make Georgia more business friendly. Beginning March 1, 2013, state and local sales tax will no longer apply to the purchase of a motor vehicle purchased in Henry County. All vehicles purchased or transferred into ownership after this date will also no longer be subject to the annual ad valorem tax. Instead, these vehicles will be subject to a new, one-time state and local title ad valorem tax (TAVT) that is paid at the time owner registers the vehicle and applies for the title with the county. “Every year, we renew our tags on our birthday. House bill 386 does away with that,” said David Curry, Henry County Tax Commissioner. “There are three parts of this bill for ad valorem taxes. Imagine three doors. The door on the left talks about if you own a vehicle prior to December 31, 2011, you will continue to get an ad valorem tax bill in the future. The door on the right is for March 1, 2013 moving forward. You will fall under the new system, and won’t have an option. You will come in and pay your 6 ½ percent title fee and get your tag. After that, you pay only $20 for your tag renewal. The door in the middle is for the 14 months in the middle that people will have an option if they want to opt in to the new law or remain under the old law.” The new system for taxing vehicles only applies when the ownership of the vehicle is transferred through a title exchange. All vehicles purchased on or after March 1, 2013 are subject to this new system, regardless of where the vehicle is purchased. Vehicles purchased through a private sale that were previously exempt from sales tax, such as vehicles that are Motor Vehicle “Birthday Tax” to Change to State and Local Title Tax

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Page 1: HenryCountyUpdate-013113

BOARD OF COMMISSIONERS

Regular MeetingsFebruary 5th at 9:00 a.m.

February 19th at 6:30 p.m.

Meetings held at: Administration Building

Community Room140 Henry Parkway

McDonough, GA 30253

Commission meetings will air daily on Henry TV Channel 14,

at 9 a.m., 2 p.m., & 7 p.m.

1the henry county update

January 31, 2013

Page 2 Page 4Page 1 & 3 Page 4

Continued on Page 3

Tax reform legislation enacted bythe Georgia General Assembly in 2012created a new system for taxing motorvehicles registered in Georgia. As a result,the annual vehicle ad valorem tax, oftencalled the “birthday tax,” will change to astate and local title ad valorem tax onMarch 1, 2013.

The change is part of HB386, whichis designed to make Georgia morebusiness friendly. Beginning March 1,2013, state and local sales tax will nolonger apply to the purchase of a motorvehicle purchased in Henry County. Allvehicles purchased or transferred intoownership after this date will also no longerbe subject to the annual ad valorem tax.Instead, these vehicles will be subject to anew, one-time state and local title advalorem tax (TAVT) that is paid at the timeowner registers the vehicle and applies forthe title with the county.

“Every year, we renew our tags onour birthday. House bill 386 does awaywith that,” said David Curry, Henry County

Tax Commissioner. “There are three partsof this bill for ad valorem taxes. Imaginethree doors. The door on the left talksabout if you own a vehicle prior toDecember 31, 2011, you will continue toget an ad valorem tax bill in the future. Thedoor on the right is for March 1, 2013moving forward. You will fall under thenew system, and won’t have an option.You will come in and pay your 6 ½ percenttitle fee and get your tag. After that, youpay only $20 for your tag renewal. Thedoor in the middle is for the 14 months inthe middle that people will have an option ifthey want to opt in to the new law orremain under the old law.”

The new system for taxing vehiclesonly applies when the ownership of thevehicle is transferred through a titleexchange. All vehicles purchased on orafter March 1, 2013 are subject to this newsystem, regardless of where the vehicle ispurchased. Vehicles purchased through aprivate sale that were previously exemptfrom sales tax, such as vehicles that are

Motor Vehicle “Birthday Tax” to Change to Stateand Local Title Tax

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2January 31, 2013www.henrycounty-ga.org

Henry County continues to take great strides towardaddressing the problem of pet over-population in itscommunity, and once again, Henry County Senior Serviceswill partner with the Atlanta Humane Society to offer a free,two-day mobile spay/neuter clinic for cats and dogs ownedby Henry County’s senior population. The two day event willbe held at the Heritage Senior Center on Wednesday,February 20 and Thursday, February 21, 2013. The clinic isonly for pets of Henry County senior citizens.

According to Tracy Lopez, Manager of SurgicalUtility Vehicle (SUV) Operations for the Atlanta HumaneSociety, the state of Georgia has one of the highest rates ofpet over-population in the country, therefore the SUV is aninvaluable tool that makes spaying and neutering accessibleto more pet owners.

The clinic will operate out of the SUV, which isapproximately 45 square feet and consists of a fully-equipped stainless steel surgical suite and a holding area

that accommodates up to 49 animals. The SUV program isan extension of the Atlanta Humane Society’s outreachinitiative, designed to provide these much-needed servicesoutside the Metro Atlanta area. Thanks to a generous grantfrom the Holland M. Ware Foundation, the SUV program isable to perform surgeries at no cost to senior citizens inHenry County. Pets who receive services through theprogram are also eligible for a free rabies vaccination andmicrochip as needed.

In order to take part in the clinic, appointments arenecessary. To schedule an appointment for the free clinic,seniors should contact Ann Marie Quincy at the HeritageSenior Center at (770) 288-7000.

The Heritage Senior Center is located at 1050Florence McGarity Blvd in McDonough.

Heritage Senior Center Partners with Atlanta Humane Society ToAssist in Spaying and Neutering Pets

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3January 31, 2013www.henrycounty-ga.org

sold between individuals and not through a dealer, will nowbe subject to the title ad valorem tax. All other vehicleowners will continue to operate under the current systemand pay the annual ad valorem taxes until they no longerhold title to the vehicle.

“Currently, if you purchase something from anindividual, it’s $18 for a title and $20 for a tag, so for $38,you walk out the door, you’ve got your title and tag, and youare good to go,” said Curry. “The new law captures thecasual sales so that when you come in now, let’s say youpurchased a car for $5,000. We charge a 6 ½ percent titlefee, which is $325 plus $20 for the tag. So there is a hugedifference in buying casual sales after March 1st, 2013compared to today though, after the shock of the $325 upfront, you won’t receive that ad valorem tax bill in the future.So it’s a little harder on you up front, but it’s less of animpact on your pocketbook according to how long you keepyour car.”

“This is a major change in the way taxes are paid onmotor vehicles. People need to fully understand that thecost to title a vehicle is going to be higher than what theymay have previously experienced,” said ACCG LegislativeDirector Clint Mueller. “The tradeoff is that they will not haveto pay a sales tax if they have traditionally purchased avehicle through a dealership and they will not have theannual ad valorem tax to pay every year.”

“There is a bit of a misconception out there thatpeople think they have to pay 7 percent sales tax in additionto the 6 ½ percent title fee,” said Curry. “The 6 ½ percenttitle fee does away with the 7 percent sales tax. It’s a greatsavings to the citizens of Henry County and to all Georgiaresidents because in the future, you will not have to pay advalorem taxes. You pay the 6 ½ percent up front and simplypay $20 a year afterwards.”

For Henry County residents, your title ad valorem taxis collected by the county tax commissioner before a newtitle is issued and the vehicle is registered. But don’t rushdown to the tag office today to make any changes.

“We are not set up today to take that information orthe money,” explained Curry. “You’ll have to come in afterMarch 1, 2013 to opt into the new system.”

The new title ad valorem tax is calculated at a rate of6.5 percent of the vehicle’s value, not the sales price, asdefined by the Department of Revenue’s motor vehicle advalorem assessment manual. When there is no valueavailable in the assessment manual, the bill of sale or areputable used car market guide determines the value. Thetrade-in value of another motor vehicle will be deductedfrom the value to get the taxable value.

Other important changes that will go into effect onMarch 1, 2013 are as follows:

• Vehicles transferred from another state to Georgia will be subject to the title ad valorem tax in two installment payments, in addition to the title and registration fees that they were responsible for in the past.

• Leased vehicles will still be subject to a use tax on the monthly lease payment. Thedealership is responsible for paying the title ad valorem tax and may include this cost inthe term of the lease.

Vehicle titles transferred between family members,including spouses, parents, children, siblings, grandparentsor grandchildren, will be handled as follows:

TITLE TAX From Page 1

Continued on Page 5

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The Henry County Police Department is chargedwith keeping law and order in a county that has grownexponentially in the last decade and officials are quick toutilize nearly every tool available to them to solve cases andmake the county safe for residents.

With the launch of a Facebook page a little morethan a year ago, police are finding that it has been a helpfultool in gathering information on active cases.

Sergeant Joey Smith with the Internal AffairsDivision said that in recent months, Facebook identificationshave helped to solve at least eight cases that were put on thesite as B.O.L.Os (Be On the Look Out).

“Social Media has been very helpful. It is a tool thatwe utilize and the public has the opportunity to get involvedwith crime and concerns in our community,” said Smith.“Assistance from the public is crucial when investigatingand dealing with crime, and we want constantcommunication between the public and law enforcement.”

With nearly 5,000 likes, the HCPD also utilizes thesocial networking site to announce positive news in thedepartment and citizens are encouraged to friend the HenryCounty Police Department on Facebook to keep up the latest news. Visit them at www.facebook.com/HCPDGA

4January 31, 2013www.henrycounty-ga.org

I am a sweet and loving soul that needs a lifetime companion togive me the home that I deserve. I was picked up as a stray, somy friends here at the shelter do not know anything about mypast. If you would like to meet me, then please call my friends at(770) 288-PETS. My I.D. #11/17-3792 please refer to this numberwhen inquiring about me. Lost and stray animals are held at theHenry County Animal Care and Control Shelter for four (4)calendar days (excluding Sundays and county holidays) in orderto give their owners a chance to reclaim them. After that timeperiod, adoptable animals are held as long as space allows.

Facebook Is Powerful Tool in the Arsenal for Fighting Crime in Henry County

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• Vehicles owned prior to March 1, 2013: The family member who is titling the vehicle has the option to pay the full title ad valorem tax or continue to pay the annual ad valorem tax under the old system.

• Vehicles purchased on or after March 1, 2013: The family member who is titling the vehicle is subject to a 0.5% title ad valorem tax.

• Title applications must be processed in the county where the vehicle is to be registered.

• Salvage vehicles and vehicles donated to charities will pay a reduced title ad valorem tax at a rate of 1%.

• Certain veterans who were exempt from annual motor vehicle ad valorem tax will also be exempt from the title ad valorem tax.

The Georgia Department of Revenue (DOR) hasdeveloped a title ad valorem tax calculator to help peopledetermine the amount of taxes they will owe that is availableat: http://onlinemvd.dor.ga.gov/Tap/welcome.aspx. Formore information on the new title ad valorem tax, go towww.etax.dor.ga.gov and click on “Motor Vehicles” andthen the “Tax Calculator” button or www.accg.org and clickon “Motor Vehicle Tax Reform.”

5January 31, 2013www.henrycounty-ga.org

TITLE TAX From Page 3