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New car tax creating confusion

12:43 AM, Apr 22, 2013   |    comments
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AUGUSTA, Ga. (AP) -- Georgia's new automotive tax law is creating confusion in car deals.

Companies, private individuals and courthouse officials are all struggling to under the new requirements.

The new title ad valorem tax does away with sales tax on automobiles. It imposes a 6.5 percent tax on every car purchase, even those between private individuals, which were exempt under the old system.

Fairway Ford general manager Mike Combs says there's little training available on how to handle the transactions.

Jenny Bales of the Columbia County tax office says dealers are confused about how the tax works. She says tax office workers are fixing lots of errors.

President Bill Morie of the Georgia Automobile Dealers Association says lawmakers may need to fix problems with the law.

Associated Press

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