Eliminating car tax would hurt local governments - WALB.com, Albany News, Weather, Sports

Eliminating car tax would hurt local governments

March 9, 2006

Albany - A plan by lawmakers to reduce and maybe eliminate the state's tag tax on vehicles would cost Albany, Dougherty County and the school system more than $7-million.

Nearly 78,000 vehicles are taxed every year in Dougherty County. Dougherty's County Tax Commissioner says the tax now generates more than $7-million a year for the city, county and the school system. She's not sure how local governments would make up that money if the tax goes away.

"It sounds good and of course, the public is going to vote for it. But then your county, city and schools are left with services, some of which are mandated by the state, and there's no money to provide those services. So, they would have to make great reductions," said Tax Commissioner Denver Hooten.

If the measure is approved, it would eliminate tag taxes on about eight million vehicles in Georgia and $500-million in revenue.

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