Georgia House of Representatives - 1995/1996 Sessions

HB 142 - Sales tax exemption; certain food items

Page Numbers - 1/ 2/ 3/ 4

Code Sections - 48-8-82/ 48-8-110

1. Klein  39th            2. Sauder  29th            3. Stancil  16th
4. Harris  17th


House Comm: W&M        /                Senate Comm:            /                                   
House Vote: Yeas       Nays             Senate Vote: Yeas     Nays                                  
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               House          Action         Senate                                                 
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              1/11/95  Read 1st Time                                                                
              1/12/95  Read 2nd Time                                                                
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Code Sections amended: 48-8-3, 48-8-82, 48-8-110                                                    


HB 142                                            LC 18 6433






                        A BILL TO BE ENTITLED
                               AN ACT


  1- 1  To amend Chapter 8 of Title 48 of the Official Code of
  1- 2  Georgia Annotated, relating to sales and use taxation, so as
  1- 3  to provide for exemptions for certain food items with
  1- 4  respect to the levy or imposition of certain sales and use
  1- 5  taxation; to provide that certain exemptions from the state
  1- 6  sales and use tax shall not be applicable to the joint
  1- 7  county and municipal sales and use tax or to the special
  1- 8  county 1 percent sales and use tax and certain other local
  1- 9  sales and use taxes; to provide an effective date; to repeal
  1-10  conflicting laws; and for other purposes.

  1-11       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

                         SECTION 1.

  1-12  Chapter 8 of Title 48 of the Official Code of Georgia
  1-13  Annotated, relating to sales and use taxation, is amended by
  1-14  striking "or" at the end of paragraph (54), by striking the
  1-15  period at the end of paragraph (55) and inserting in its
  1-16  place "; or", and by adding a new paragraph immediately
  1-17  following paragraph (55) of Code Section 48-8-3, relating to
  1-18  exemptions regarding the state sales and use tax, to be
  1-19  designated paragraph (56), to read as follows:

  1-20        "(56)(A) On and after January 1, 1996, the retail sale
  1-21        for off-premises human consumption, use, or
  1-22        consumption of food and beverages other than alcoholic
  1-23        beverages.  The exemptions provided for in this
  1-24        paragraph shall not apply to retail sales or sales at
  1-25        retail of food and beverages other than alcoholic
  1-26        beverages transacted at any food service
  1-27        establishments for the preparation and serving of
  1-28        meals, lunches, short orders, sandwiches, frozen
  1-29        desserts, or other edible products, including
  1-30        restaurants; coffee shops; cafeterias; short order
  1-31        cafes; luncheonettes; taverns; lunchrooms; places
  1-32        which manufacture, wholesale, or retail sandwiches or
  1-33        salads; soda fountains; institutions, both public and
  1-34        private; food carts; itinerant restaurants; industrial


                                 -1- (Index)

                                                  LC 18 6433

  2- 1        cafeterias; catering establishments; food vending
  2- 2        machines and vehicles and operations connected
  2- 3        therewith; and similar facilities by whatever name
  2- 4        called.

  2- 5        (B) The exemptions provided for in subparagraph (A) of
  2- 6        this paragraph shall not apply with respect to any
  2- 7        local sales tax, local use tax, or local sales and use
  2- 8        tax which is first levied or imposed before January 1,
  2- 9        1996, but shall apply with respect to any such tax
  2-10        which is first levied or imposed on or after January
  2-11        1, 1996.  For the purposes of this subparagraph, the
  2-12        taxes affected are any sales tax, use tax, or sales
  2-13        and use tax which is levied and imposed in an area
  2-14        consisting of less than the entire state, however
  2-15        authorized, including, but not limited to, such taxes
  2-16        authorized by or pursuant to constitutional amendment;
  2-17        by or pursuant to Section 25 of an Act approved March
  2-18        10, 1965 (Ga. L. 1965, p. 2243), as amended, the
  2-19        'Metropolitan Atlanta Rapid Transit Authority Act of
  2-20        1965'; by or pursuant to Article 2 of this chapter; or
  2-21        by or pursuant to Article 3 of this chapter.  In
  2-22        addition, for purposes only of a reference to the
  2-23        state tax or this article in the laws imposing such
  2-24        local sales and use taxes, the state sales and use tax
  2-25        levied or imposed by this article shall be deemed not
  2-26        to include the exemptions provided for in subparagraph
  2-27        (A) of this paragraph, notwithstanding any provision
  2-28        to the contrary in the laws imposing such taxes.  For
  2-29        the purposes of this subparagraph, a tax shall be
  2-30        considered to be levied or imposed on or after January
  2-31        1, 1996, if: (i) the same tax or a similar tax was
  2-32        imposed prior to that date; (ii) the tax imposed prior
  2-33        to that date, under the terms of the law authorizing
  2-34        the tax, expires on or after January 1, 1996; and
  2-35        (iii) the same or a similar tax is on or after such
  2-36        expiration reimposed on or after January 1, 1996, with
  2-37        or without any intervening period of time."

                         SECTION 2.

  2-38  Said chapter is further amended by striking Code Section
  2-39  48-8-82, relating to the imposition and applicability of the
  2-40  joint county and municipal sales and use tax, and inserting
  2-41  in its place a new Code Section 48-8-82 to read as follows:

  2-42    "48-8-82. (Index)



                                 -2- (Index)

                                                  LC 18 6433

  3- 1    When the imposition of a joint county and municipal sales
  3- 2    and use tax is authorized according to the procedures
  3- 3    provided in this article within a special district, the
  3- 4    county whose geographical boundary is conterminous with
  3- 5    that of the special district and each qualified
  3- 6    municipality located wholly or partially within the
  3- 7    special district shall levy a joint sales and use tax at
  3- 8    the rate of 1 percent.  Except as to rate, the joint tax
  3- 9    shall correspond to the tax imposed and administered by
  3-10    Article 1 of this chapter.  No item or transaction which
  3-11    is not subject to taxation by Article 1 of this chapter
  3-12    shall be subject to the tax levied pursuant to this
  3-13    article, except that the joint tax provided in this
  3-14    article shall be applicable to sales of motor fuels as
  3-15    that term is defined by Code Section 48-9-2 and shall be
  3-16    applicable to the sale of food to the extent provided for
  3-17    in paragraph (56) of Code Section 48-8-3."

                         SECTION 3.

  3-18  Said title is further amended by striking Code Section
  3-19  48-8-110, relating to the imposition and applicability of
  3-20  the special county 1 percent sales and use tax, and
  3-21  inserting in its place a new Code Section 48-8-110 to read
  3-22  as follows:

  3-23    "48-8-110. (Index)

  3-24    The governing authority of any county in this state may,
  3-25    subject to the requirement of referendum approval and the
  3-26    other requirements of this article, impose within the
  3-27    county a special sales and use tax for a limited period of
  3-28    time.  Any tax imposed under this article shall be at the
  3-29    rate of 1 percent. Except as to rate, a tax imposed under
  3-30    this article shall correspond to the tax imposed by
  3-31    Article 1 of this chapter.  No item or transaction which
  3-32    is not subject to taxation under Article 1 of this chapter
  3-33    shall be subject to a tax imposed under this article,
  3-34    except that a tax imposed under this article shall apply
  3-35    to sales of motor fuels as that term is defined by Code
  3-36    Section 48-9-2 and shall be applicable to the sale of food
  3-37    to the extent provided for in paragraph (56) of Code
  3-38    Section 48-8-3."

                         SECTION 4.

  3-39  This Act shall become effective on January 1, 1996.

                         SECTION 5.



                                 -3- (Index)

                                                  LC 18 6433

  4- 1  All laws and parts of laws in conflict with this Act are
  4- 2  repealed.














































                                 -4- (Index)