HB 6 - Intangible personal property tax; repeal; certain recordation limit
Georgia House of Representatives - 1995/1996 Sessions
HB 6 - Intangible personal property tax; repeal; certain recordation limit
1. Buck 135th 2. Royal 164th 3. Jamieson 22nd
4. Skipper 137th 5. Culbreth 132nd 6. Johnson 97th
House Comm: W&M / Senate Comm: F&PU /
House Vote: Yeas 167 Nays 0 Senate Vote: Yeas 51 Nays 0
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House Action Senate
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1/9/95 Read 1st Time 3/5/96
1/10/95 Read 2nd Time 3/8/96
2/26/96 Favorably Reported 3/7/96
Sub Committee Amend/Sub Sub
2/29/96 Read 3rd Time 3/13/96
2/29/96 Passed/Adopted 3/13/96
CS Comm/Floor Amend/Sub CSFA
3/15/96 Amend/Sub Agreed To 3/15/96
3/21/96 Sent to Governor
3/21/96 Signed by Governor
524 Act/Veto Number
3/21/96 Effective Date
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Rules Suspended to Introduce
Immediately Transmitted to the Senate
House Agrees to Senate Substitute as Amended by House
Senate Agrees to House Amendment to Senate Substitute
Code Sections amended: 48-1-2, 48-6-8, 48-6-20, 48-6-21, 48-6-22, 48-6-23,
48-6-24, 48-6-25, 48-6-26, 48-6-26.1, 48-6-27, 48-6-28, 48-6-29, 48-6-30,
48-6-31, 48-6-32, 48-6-33, 48-6-34, 48-6-35, 48-6-36, 48-6-37, 48-6-38, 48-6-39,
48-6-40, 48-6-41, 48-6-42, 48-6-43, 48-6-44, 48-6-63, 48-6-64, 48-6-72, 48-6-74,
48-7-21,
HB 6 HB 6/AP
H. B. No. 6 (AS PASSED HOUSE AND SENATE)
By: Representatives Buck of the 135th, Royal of the 164th,
Jamieson of the 22nd, Skipper of the 137th, Culbreth of the
132nd and others
A BILL TO BE ENTITLED
AN ACT
1- 1 To amend Title 48 of the Official Code of Georgia Annotated,
1- 2 known as the "Georgia Public Revenue Code," so as to repeal
1- 3 the intangible personal property tax; to change the
1- 4 definition of the term "intangible personal property" as it
1- 5 applies to said title; to change certain references to the
1- 6 intangible personal property tax laws; to provide that
1- 7 certain provisions of former laws relating to intangible
1- 8 personal property taxes shall be applicable to other
1- 9 provisions of law; to provide for related matters; to repeal
1-10 certain intangible tax payable with respect to short-term
1-11 notes; to provide for an effective date; to provide for
1-12 applicability; to provide that this Act shall not repeal a
1-13 certain other Act; to repeal conflicting laws; and for other
1-14 purposes.
1-15 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
1-16 Title 48 of the Official Code of Georgia Annotated, known as
1-17 the "Georgia Public Revenue Code," is amended by striking in
1-18 its entirety paragraph (13) of Code Section 48-1-2, relating
1-19 to definitions used in the "Georgia Public Revenue Code,"
1-20 and inserting in lieu thereof the following:
1-21 "(13) 'Intangible personal property' means the capital
1-22 stock of all corporations; money, notes, bonds,
1-23 accounts, or other credits, secured or unsecured; patent
1-24 rights, copyrights, franchises, and all any other
1-25 classes and kinds of property defined by law as
1-26 intangible personal property, whether or not enumerated
1-27 in this definition and whether or not similar to the
1-28 class enumerated in Article 2 of Chapter 6 of this
1-29 title."
SECTION 2.
1-30 Said title is further amended by striking in its entirety
1-31 Code Section 48-6-8, relating to the distribution of tax
1-32 revenues among state, municipalities, and counties where
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2- 1 real property lies, and inserting in lieu thereof a new Code
2- 2 Section 48-6-8 to read as follows:
2- 3 "48-6-8. (Index)
2- 4 (a) All revenues derived from the tax imposed by this
2- 5 article shall be distributed among the state and
2- 6 municipalities in which the real property is situated and
2- 7 the county in which the real property is situated in the
2- 8 same proportion that revenues derived from the taxes
2- 9 imposed by Article 2 of this chapter, relating to taxation
2-10 of intangible personal property, are divided accordance
2-11 with this Code section. If the real property is situated
2-12 in more than one county, the appropriate portion of the
2-13 tax shall be equitably divided among the counties by the
2-14 commissioner.
2-15 (b) The tax commissioner or tax collector, on the basis of
2-16 the tax commissioner's or tax collector's records and of
2-17 certificates which shall be supplied by each school
2-18 district, municipality, and other tax district in the
2-19 county, shall distribute at least monthly the revenue
2-20 collected under this article. Each year the millage rates
2-21 used in the distributions of revenue under this Code
2-22 section shall be based upon the immediately preceding
2-23 year's millage rate of each participating tax authority as
2-24 provided in this article.
2-25 (c) Revenue derived from taxes under this article shall be
2-26 divided among the state and all other tax jurisdictions
2-27 and districts including, but not limited to, county and
2-28 municipal districts, which levy or cause to be levied for
2-29 their benefit a property tax on real and tangible personal
2-30 property having the same taxable situs as the real
2-31 property which is the subject of the intangible tax. The
2-32 distribution shall be made according to the proportion
2-33 that the millage rate levied for the state and each other
2-34 tax jurisdiction or district respectively bears to the
2-35 total millage rate levied for all purposes applicable to
2-36 real and tangible personal property having the same
2-37 taxable situs as the subject of the intangible tax. The
2-38 revenue distributed to municipalities having independent
2-39 school systems supported by taxes levied by the
2-40 municipality shall be divided between the municipality and
2-41 the independent school system according to the proportion
2-42 that the millage rate levied by the municipality for
2-43 nonschool purposes and the millage rate levied for school
2-44 purposes bear to the total millage rate levied by the
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3- 1 municipality for all purposes. The tax levied by this
3- 2 article shall be deemed to be levied by the participating
3- 3 tax authorities in the proportion that the millage rate of
3- 4 each participating tax authority bears to the aggregate
3- 5 millage rate of all the participating tax authorities.
3- 6 (d) In the event any distribution or part of a
3- 7 distribution as provided in this article is adjudged to be
3- 8 invalid for any reason, such distribution or part of a
3- 9 distribution shall be paid into the general fund of the
3-10 state in the same manner and for the same purposes as
3-11 provided in this article for the state's share of the
3-12 revenues derived from the tax imposed by this article."
SECTION 3.
3-13 Said title is further amended by striking in its entirety
3-14 Article 2 of Chapter 6, relating to the intangible personal
3-15 property tax, which reads as follows:
"ARTICLE 2
3-16 48-6-20. (Index)
3-17 As used in this chapter, the term:
3-18 (1) 'Bank' means any financial institution chartered
3-19 under the laws of this state or under the laws of the
3-20 United States and domiciled in this state which is
3-21 authorized to receive deposits in this state and which
3-22 has a corporate structure authorizing the issuance of
3-23 capital stock.
3-24 (2) 'Collateral security loan' means a loan held by any
3-25 broker which represents credit extended in connection
3-26 with the purchase or sale of stocks, bonds, or other
3-27 securities of a like character held as collateral
3-28 security for the loan.
3-29 (3) 'Depository financial institution' means a 'bank'
3-30 and a 'savings and loan association.'
3-31 (3.1) 'Domesticated foreign corporation' means:
3-32 (A) A foreign corporation which, prior to April 1,
3-33 1969, has domesticated in this state under the
3-34 procedure available prior to that date and which was a
3-35 domesticated foreign corporation on that date; or
3-36 (B) A foreign corporation which has procured a
3-37 certificate of authority to transact business in this
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4- 1 state from the Secretary of State and which maintains
4- 2 its corporate headquarters in this state.
4- 3 (4) 'Money' means specie, currency, and credits
4- 4 resulting from the deposit of money, currency, checks,
4- 5 bills, and other evidences of the credits.
4- 6 (5) 'Restricted foreign intangibles' means all
4- 7 classifications of intangible personal property acquired
4- 8 and held in a foreign country incident to the conduct of
4- 9 the business of insurance within the foreign country if
4-10 the intangible personal property is held in the foreign
4-11 country pursuant to laws or regulations of the foreign
4-12 country or administrative guidance by the government of
4-13 the foreign country which prohibit or restrict the
4-14 transfer of said property outside of the jurisdiction of
4-15 the foreign country.
4-16 (6) 'Savings and loan association' means any financial
4-17 institution, other than a credit union, chartered under
4-18 the laws of this state or under the laws of the United
4-19 States and domiciled in this state which is authorized
4-20 to receive deposits in this state and which has a mutual
4-21 corporate form.
4-22 48-6-21. (Index)
4-23 Intangible personal property, for the purposes of ad
4-24 valorem taxation, is classified as follows:
4-25 (1) Money;
4-26 (2) Collateral security loans;
4-27 (3) Stocks;
4-28 (4) Accounts receivable and notes not representing
4-29 credits secured by real estate;
4-30 (5) Bonds and debentures of all corporations;
4-31 (6) Long-term notes secured by real estate;
4-32 (7) Short-term notes secured by real estate;
4-33 (8) Restricted foreign intangibles;
4-34 (9) Patents, copyrights, franchises, and all other
4-35 classes and kinds of intangible personal property not
4-36 otherwise enumerated; or
4-37 (10) Computer software as defined in Code Section
4-38 48-1-8.
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5- 1 48-6-22. (Index)
5- 2 The tax imposed by this article shall not apply to:
5- 3 (1) Obligations or evidences of debt of the United
5- 4 States or of this state or its political subdivisions or
5- 5 public institutions. Such obligations and evidences of
5- 6 debt shall include obligations of the United States
5- 7 government agencies and corporations established by acts
5- 8 of the Congress of the United States as well as
5- 9 industrial development revenue bonds issued pursuant to
5-10 the laws of this state;
5-11 (2) Intangible personal property owned by a trust
5-12 forming part of a pension, profit-sharing, or stock
5-13 bonus plan exempt from federal income taxes under
5-14 Section 401 of the Internal Revenue Code;
5-15 (3) Intangible personal property owned by or irrevocably
5-16 held in trust for the exclusive benefit of a religious,
5-17 educational, or charitable institution, no part of the
5-18 net profit from the operation of which inures to the
5-19 benefit of any private person;
5-20 (4) Intangible personal property owned by a person
5-21 domiciled in this state which has acquired a taxable
5-22 situs and is subjected to tax in another state incident
5-23 to the conduct of business located in the other state,
5-24 except that this paragraph shall not apply to restricted
5-25 foreign intangibles;
5-26 (5) Common voting stock of a subsidiary corporation not
5-27 doing business in this state if at least 90 percent of
5-28 the common voting stock is owned by a domestic
5-29 corporation with its principal place of business in this
5-30 state and was acquired or is held for the purpose of
5-31 enabling the parent company to carry on some part of its
5-32 established line of business through the subsidiary;
5-33 (6) Stock of a corporation organized under the laws of
5-34 this state if the corporation pays all taxes in this
5-35 state as provided by law. For purposes of this
5-36 paragraph, the term 'corporation' also means any
5-37 depository financial institution;
5-38 (7) Stock of a domesticated foreign corporation if the
5-39 corporation pays to this state or its political
5-40 subdivisions all taxes as provided by law;
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6- 1 (8) Assets representing mandatory reserve requirements
6- 2 imposed, by statute or otherwise, on depository
6- 3 financial institutions subject to the tax on intangible
6- 4 property;
6- 5 (9) Stock of the Federal Reserve Bank, the Government
6- 6 National Mortgage Association, the Federal National
6- 7 Mortgage Association, and other corporations and
6- 8 associations established by acts of the Congress of the
6- 9 United States;
6-10 (10) Mandatory deposits with the Federal Reserve Bank or
6-11 others required by statute or regulations;
6-12 (11) Federal or correspondent funds sold and securities
6-13 and other intangible assets purchased under agreements
6-14 to resell to the extent they are offset by federal or
6-15 correspondent funds purchased and securities and other
6-16 intangible assets sold under agreements to repurchase;
6-17 (12) Customer's liabilities to depository financial
6-18 institutions on acceptances outstanding to the extent
6-19 they are offset by liabilities of depository financial
6-20 institutions on acceptances executed and outstanding;
6-21 (13) Receivables arising from the lease of tangible
6-22 personal property, provided that tangible property tax
6-23 is due upon such property;
6-24 (14) Intercompany loans or advances from a parent
6-25 corporation to a subsidiary, or vice versa, or from one
6-26 subsidiary to another subsidiary, provided that the
6-27 parent corporation owns, either directly or through
6-28 other subsidiaries, more than 90 percent of the common
6-29 voting stock of any subsidiary which is a party to any
6-30 such transaction;
6-31 (15) Intangible personal property owned by an
6-32 international banking agency or domestic international
6-33 banking facility licensed to do business in this state;
6-34 and
6-35 (16) Stock held in a foreign corporation which was a
6-36 party to a reorganization prior to January 1, 1992,
6-37 under the provisions of Part 19 of Article 2 of Chapter
6-38 1 of Title 7 if the stock of another corporation which
6-39 was a party to such reorganization and which was
6-40 acquired in such reorganization was exempt from such tax
6-41 prior to such reorganization.
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7- 1 48-6-23. (Index)
7- 2 (a) A property tax is levied annually as of January 1 of
7- 3 each year at the following rates:
7- 4 (1) Ten cents upon each $1,000.00 of the fair market
7- 5 value of all personal property classified for taxation
7- 6 as intangible personal property in Code Section 48-6-21,
7- 7 including all restricted foreign intangibles. The tax is
7- 8 not levied by this paragraph on intangible personal
7- 9 property classified as collateral security loans,
7-10 long-term notes secured by real estate, or stocks,
7-11 bonds, and debentures; except for restricted foreign
7-12 intangibles which are taxed in this paragraph and not
7-13 otherwise;
7-14 (2) Twenty-five cents upon each $1,000.00 of the fair
7-15 market value of all collateral security loans;
7-16 (3) One dollar upon each $1,000.00 of the fair market
7-17 value of all stocks in all corporations except those
7-18 specifically exempted by law; and
7-19 (4) One dollar upon each $1,000.00 of the fair market
7-20 value of all bonds and debentures of all corporations.
7-21 The tax rate upon notes of corporations, other than
7-22 long-term notes secured by real estate, shall be the
7-23 rate specified in paragraph (1) of subsection (a) of
7-24 this Code section, regardless of the maturity date of
7-25 any such note or notes.
7-26 (b) Long-term notes secured by real estate, as defined in
7-27 Article 3 of this chapter, shall be recorded and taxed as
7-28 provided in Article 3 of this chapter.
7-29 48-6-24. (Index)
7-30 (a) The taxes imposed by Code Section 48-6-23 shall be in
7-31 lieu of all other state, county, municipal, and district
7-32 property taxes on intangible personal property classified
7-33 for taxation as specified in this article. All intangible
7-34 personal property not otherwise exempted shall be taxed
7-35 without deduction of any indebtedness or liability of the
7-36 taxpayer.
7-37 (b) A sale or transfer of accounts receivable or of notes
7-38 not representing credits secured by real estate to a
7-39 nonresident of this state shall be void as far as tax
7-40 liability is concerned. Sales or transfers to nonresidents
7-41 of accounts receivable or notes retaining any interest
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8- 1 whatever by the seller shall be void with respect to tax
8- 2 liability. The physical removal of such accounts
8- 3 receivable and notes from the state by any person doing
8- 4 business in the state shall not avoid liability for the
8- 5 tax imposed by this article.
8- 6 48-6-25. (Index)
8- 7 Every resident and nonresident person is subject to the
8- 8 tax imposed by this article on as much of his property
8- 9 taxable under this article as has been acquired in the
8-10 conduct of, or has been used incident to, business carried
8-11 on or property located in this state. Each such person
8-12 shall report the property and pay taxes on the property as
8-13 provided in this article. Stock of a foreign subsidiary
8-14 corporation held by a foreign parent corporation whose
8-15 corporate headquarters are located in this state will not
8-16 be deemed to have been acquired in the conduct of, or used
8-17 incident to, business carried on or property located in
8-18 this state, and the stock of such foreign subsidiary
8-19 corporation will not otherwise be deemed to have a taxable
8-20 situs in this state.
8-21 48-6-26. (Index)
8-22 The taxable situs of all intangible trust property, if the
8-23 trust was or is created by a resident of this state, is
8-24 fixed and declared, if the settlor or maker is living, to
8-25 be the county of this state of which the settlor or maker
8-26 of the trust is a resident or, if the settlor or maker is
8-27 deceased, the county of this state of which the settlor or
8-28 maker of the trust was a resident at the time of his
8-29 death.
8-30 48-6-26.1. (Index)
8-31 Notwithstanding any other provision of law to the
8-32 contrary, the commissioner shall grant, upon written
8-33 request, an extension of four months for filing returns,
8-34 declarations, or other documents required under this
8-35 article whenever, in the reasonable exercise of his
8-36 judgment, a good cause for the extension exists. The
8-37 commissioner shall keep a record of every extension
8-38 granted and the reason for the extension. No such
8-39 extension shall operate to delay the payment of a tax
8-40 unless a bond satisfactory to the commissioner is posted.
8-41 The commissioner shall by rule and regulation provide for
8-42 the administration of this Code section.
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9- 1 48-6-27. (Index)
9- 2 (a) Every person owning intangible personal property
9- 3 classified for taxation under this article shall file a
9- 4 return of such property. The return shall:
9- 5 (1) Describe in detail each item of property (including
9- 6 exempt as well as taxable property, except obligations
9- 7 of the United States);
9- 8 (2) Give a description of the property in the form
9- 9 required by the commissioner;
9-10 (3) Show the face value of each item of intangible
9-11 personal property;
9-12 (4) Show such other information pertaining to the return
9-13 as reasonably required by the commissioner; and
9-14 (5) Be filed with the commissioner on or before April 15
9-15 of each year.
9-16 (b) The return shall be separately sworn to and shall be
9-17 filed by every owner of the intangible personal property
9-18 taxable under this article.
9-19 (c) This Code section shall not apply to intangible
9-20 personal property belonging to:
9-21 (1) The United States;
9-22 (2) This state or any political subdivision of this
9-23 state;
9-24 (3) A religious, educational, or charitable
9-25 organization;
9-26 (4) A trust exempt from federal income taxes under
9-27 Section 401 of the Internal Revenue Code; or
9-28 (5) A nonprofit cooperative association.
9-29 (d) Money belonging to a person residing outside this
9-30 state (except as provided in Code Section 48-6-25) shall
9-31 be neither returnable nor taxable.
9-32 (e)(1) It is the intent of this subsection to carry into
9-33 effect the constitutional authorization to exempt from
9-34 the return and payment requirements of this article
9-35 those returns on which the tax due exceeds the
9-36 reasonable cost of administering the tax.
9-37 (2) No return need be filed pursuant to this Code
9-38 section nor tax paid as required by this article if the
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10- 1 amount of tax due on all intangible property owned in
10- 2 whole or in part by the person liable for the tax is
10- 3 less than $20.00.
10- 4 48-6-28. (Index)
10- 5 Any person including, but not limited to, an agent holding
10- 6 money belonging to others may make returns for the other
10- 7 persons and may pay the tax on the money as provided in
10- 8 this article when so authorized by the person owning the
10- 9 money.
10-10 48-6-29. (Index)
10-11 (a) Any bank or trust company organized under the laws of
10-12 this state or of the United States and having on deposit
10-13 money subject to taxation under this article may make a
10-14 return to the commissioner of the aggregate amount of
10-15 money on deposit with the bank owned by a taxpayer and may
10-16 pay the tax on the money on the taxpayer's behalf when so
10-17 authorized by the taxpayer. A return by a bank or trust
10-18 company shall state the aggregate amount of money it has
10-19 on deposit which is subject to taxation under this article
10-20 and which is owned by the taxpayer authorizing the bank to
10-21 make the return. The return shall state also the amount of
10-22 money having a taxable situs in each county, municipality,
10-23 or special tax district in which any of the money has a
10-24 taxable situs.
10-25 (b) If a bank or trust company elects to make a return and
10-26 pay the tax, any person having money on deposit on which
10-27 the bank has made a return and paid the taxes shall be
10-28 deemed to have made a return of his money for taxation if
10-29 he states in his return the name of the bank or trust
10-30 company authorized to make a return of his money for
10-31 taxation and to pay the tax on the money.
10-32 (c) The amount of tax paid by any bank for a taxpayer
10-33 shall be charged to the account of the taxpayer.
10-34 48-6-30. (Index)
10-35 In addition to all other penalties and interest provided
10-36 by law, every taxpayer failing to return for taxation all
10-37 intangible personal property which it is his duty to
10-38 return as required by this article shall pay a penalty, as
10-39 part of the tax imposed by this article, in an amount
10-40 equal to 25 percent of the original tax on property not
10-41 returned.
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11- 1 48-6-31. (Index)
11- 2 Every foreign corporation doing business or owning
11- 3 property in this state and each domestic corporation, when
11- 4 the stocks and bonds of the foreign or domestic
11- 5 corporation are subject to tax under this article, shall
11- 6 make on or before March 1 of each year a true, correct,
11- 7 and verified report to the commissioner. The report shall
11- 8 give in the form required by the commissioner the names
11- 9 and addresses of persons in this state who held its shares
11-10 of stock or its registered bonds on the immediately
11-11 preceding January 1 and, in addition, a list of stock (or,
11-12 in the case of a domestic corporation, preferred stock) or
11-13 registered bonds transferred from such persons between
11-14 November 1 and January 1 immediately preceding the date of
11-15 the return.
11-16 48-6-32. (Index)
11-17 Willful failure to return any property to the commissioner
11-18 for taxation as required by this article shall be a bar to
11-19 any action upon the property in any court and may be
11-20 pleaded as a complete defense to the action, but the
11-21 holder of the property may at any time pay all taxes,
11-22 accrued interest, and penalties. Payment in full shall
11-23 relieve the holder from the penalty provided in this Code
11-24 section.
11-25 48-6-33. (Index)
11-26 Intangible personal property transferred prior to January
11-27 1 to avoid the tax imposed by this article or to secure a
11-28 reduction in the rate of the tax imposed by this article
11-29 is subject to the tax imposed by this article.
11-30 48-6-34. (Index)
11-31 As soon as practicable after receipt of the returns of
11-32 intangible personal property as required by this article,
11-33 the commissioner shall examine each return and fix the
11-34 value of that property contained in the return which can
11-35 be centrally assessed.
11-36 48-6-35. (Index)
11-37 (a) The commissioner shall certify the assessments fixed
11-38 pursuant to Code Section 48-6-34 to the various tax
11-39 commissioners or tax receivers according to the situs of
11-40 the property, such certification to be made with respect
11-41 to all property listed on returns where the property is
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12- 1 assessed for at least $5.00 or where the commissioner
12- 2 determines that the final assessment on all property owned
12- 3 in whole or in part by the taxpayer would be for at least
12- 4 $5.00. Each tax commissioner or tax receiver shall record
12- 5 the value certified by the commissioner, shall assess all
12- 6 property certified but not assessed, and shall cause the
12- 7 aggregate assessments so fixed to be entered on a separate
12- 8 intangible personal property tax digest of the county.
12- 9 (b) At or before the time certification is made to local
12-10 officials, the commissioner shall notify the taxpayer of
12-11 the assessment. The taxpayer shall have 15 days within
12-12 which he may offer objections.
12-13 (c) The commissioner, in the event of an error, may make a
12-14 corrected certification. In no event shall such a
12-15 correction be made after the tax has become delinquent
12-16 under this article.
12-17 48-6-36. (Index)
12-18 Notwithstanding the fact that the assessment of all
12-19 intangible personal property is fixed by the commissioner,
12-20 the tax receiver or tax commissioner shall be entitled for
12-21 his services to his usual commissions as though he himself
12-22 made the assessment.
12-23 48-6-37. (Index)
12-24 The taxes on property imposed by this article at the rates
12-25 fixed in this article shall be collected by the tax
12-26 commissioners or tax collectors, subject to the provisions
12-27 of law as to remuneration of the tax commissioner or tax
12-28 collector and subject to all the remedies provided by law
12-29 for enforcement or collection of real and tangible
12-30 personal property taxes.
12-31 48-6-38. (Index)
12-32 In all applications to restrain or enjoin the collection
12-33 of any tax imposed by this article, the judge, should he
12-34 grant a restraining order or temporary injunction, shall
12-35 require the petitioner to give a good and sufficient bond
12-36 payable to the tax commissioner or tax collector in double
12-37 the amount of the tax the collection of which is sought to
12-38 be enjoined. The bond shall be approved by the clerk of
12-39 superior court and shall be conditioned to pay the tax in
12-40 the event the petitioner does not finally prevail in his
12-41 effort to resist the payment of the tax. If the petitioner
12-42 does not finally prevail, the tax commissioner or tax
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13- 1 collector shall bring an action on the bond and shall
13- 2 distribute the amount recovered pursuant to Code Sections
13- 3 48-6-39, 48-6-40, and 48-6-41.
13- 4 48-6-39. (Index)
13- 5 The tax commissioner or tax collector, on the basis of his
13- 6 records and of certificates which shall be supplied by
13- 7 each school district, municipality, and other tax district
13- 8 in the county, shall distribute at least monthly the
13- 9 revenue collected from each owner of intangible personal
13-10 property between the state and the various local tax
13-11 districts in the manner provided in this article. Each
13-12 year the millage rates used in the distributions of
13-13 revenue under this Code section shall be based upon the
13-14 immediately preceding year's millage rate of each
13-15 participating tax authority as provided in this article.
13-16 48-6-40. (Index)
13-17 Revenue derived from taxes on intangible personal property
13-18 shall be divided among the state and all other tax
13-19 jurisdictions and districts including, but not limited to,
13-20 county and municipal districts, which levy or cause to be
13-21 levied for their benefit a property tax on real and
13-22 tangible personal property having the same taxable situs
13-23 as the intangible personal property from which the revenue
13-24 is derived. The distribution shall be made according to
13-25 the proportion that the millage rate levied for the state
13-26 and each other tax jurisdiction or district respectively
13-27 bears to the total millage rate levied for all purposes
13-28 applicable to real and tangible personal property having
13-29 the same taxable situs as the intangible personal property
13-30 on which the intangible tax was collected. The revenue
13-31 distributed to municipalities having independent school
13-32 systems supported by taxes levied by the municipality
13-33 shall be divided between the municipality and the
13-34 independent school system according to the proportion that
13-35 the millage rate levied by the municipality for nonschool
13-36 purposes and the millage rate levied for school purposes
13-37 bear to the total millage rate levied by the municipality
13-38 for all purposes. The tax levied by this article shall be
13-39 deemed to be levied by the participating tax authorities
13-40 in the proportion that the millage rate of each
13-41 participating tax authority bears to the aggregate millage
13-42 rate of all the participating tax authorities.
H. B. No. 6
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HB 6/AP
14- 1 48-6-41. (Index)
14- 2 In the event any distribution or part of a distribution as
14- 3 provided in this article is adjudged to be invalid for any
14- 4 reason, such distribution or part of a distribution shall
14- 5 be paid into the general fund of the state in the same
14- 6 manner and for the same purposes as provided in this
14- 7 article for the state's share of the revenues derived from
14- 8 the tax imposed by this article.
14- 9 48-6-42. (Index)
14-10 The schedules required by this article to be filed with
14-11 the commissioner shall be subject to hearings and appeals
14-12 in all respects as provided by law for income taxes.
14-13 48-6-43. (Index)
14-14 The intangible personal property tax digest, returns, and
14-15 related records shall be confidential and shall not be
14-16 subject to inspection by any person other than authorized
14-17 personnel of appropriate tax administrators. Nothing in
14-18 this Code section, however, shall prevent any disclosure
14-19 necessary or proper to the collection of any tax in any
14-20 administrative or court proceeding.
14-21 48-6-44. (Index)
14-22 (a) It shall be unlawful for any person willfully to
14-23 violate any provision of this article or willfully to fail
14-24 to do any act required of him by this article.
14-25 (b) Any person who violates subsection (a) of this Code
14-26 section shall be guilty of a misdemeanor.",
14-27 and inserting in lieu thereof the following:
"ARTICLE 2
RESERVED".
SECTION 4.
14-28 Said title is further amended by striking in its entirety
14-29 Code Section 48-6-63, relating to ad valorem taxation of
14-30 short-term notes secured by real estate, and inserting in
14-31 lieu thereof a new Code Section 48-6-63 to read as follows:
14-32 "48-6-63. (Index)
14-33 Reserved. (a) Short-term notes secured by real estate
14-34 shall be subject to ad valorem taxation at the rate
14-35 prescribed for other intangible property in subsection (a)
14-36 of Code Section 48-6-23. (b) Nothing contained in this Code section shall be
15- 2 construed to require the payment of ad valorem taxes on
15- 3 short-term notes by any institutions exempted by Article 2
15- 4 of this chapter."
SECTION 5.
15- 5 Said title is further amended by striking subsection (a) of
15- 6 Code Section 48-6-64, relating to tax on certain notes, and
15- 7 inserting in its place a new subsection (a) to read as
15- 8 follows:
15- 9 "(a) The tax required by this article to be paid on
15-10 instruments securing long-term notes secured by real
15-11 estate and the ad valorem tax required by this article to
15-12 be paid on short-term notes secured by real estate shall
15-13 be exclusive of all other taxes on the notes. Such
15-14 intangible property shall not be taxed in any manner other
15-15 than as provided in this article by the state, any county,
15-16 or any municipality, nor shall the owner or holder of the
15-17 property be required to pay any other tax on the
15-18 property."
SECTION 6.
15-19 Said title is further amended by striking in its entirety
15-20 subsection (a) of Code Section 48-6-72, relating to
15-21 collection and distribution of revenues from the intangible
15-22 recording tax, and inserting in lieu thereof a new
15-23 subsection (a) to read as follows:
15-24 "(a) The intangible recording tax imposed by Code Section
15-25 48-6-61 upon instruments securing long-term notes secured
15-26 by real property shall be collected by the collecting
15-27 officer of each county and said officer shall make the
15-28 distributions in the same manner as provided in Article 2
15-29 of this chapter Code Section 48-6-8."
SECTION 7.
15-30 Said title is further amended by striking in its entirety
15-31 Code Section 48-6-74, relating to the distribution of
15-32 revenues from the intangible recording tax, and inserting in
15-33 lieu thereof a new Code Section 48-6-74 to read as follows:
15-34 "48-6-74. (Index)
15-35 All revenues derived from the intangible recording tax
15-36 imposed by this article including, but not limited to,
15-37 revenues from any imposition of the tax upon intangible
15-38 trust property shall be distributed among the state,
H. B. No. 6
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HB 6/AP
16- 1 county, and municipality in which the real property is
16- 2 located in the same proportion that revenues derived from
16- 3 the intangible personal property tax imposed by Article 2
16- 4 of this chapter are distributed manner as provided in Code
16- 5 Section 48-6-8. If the real property is located in more
16- 6 than one county, the appropriate portion of the intangible
16- 7 recording tax shall be distributed equitably by the
16- 8 commissioner among the affected counties."
SECTION 8.
16- 9 Said title is further amended by striking in its entirety
16-10 division (b)(7)(A)(ii) of Code Section 48-7-21, relating to
16-11 the taxation of corporations for income tax purposes, and
16-12 inserting in lieu thereof a new division (b)(7)(A)(ii) to
16-13 read as follows:
16-14 "(ii) No depository financial institution, as
16-15 defined in Code Section 48-6-20, shall be deprived
16-16 of the benefit of any exemption, deduction, or
16-17 credit authorized by this title as a consequence of
16-18 its election to file otherwise lawful consolidated
16-19 returns with its parent organization or any
16-20 corporate subsidiaries with respect to any state or
16-21 local tax levied against such depository financial
16-22 institution as a result of this title. As used in
16-23 this division, the term:
16-24 (I) 'Bank' means any financial institution
16-25 chartered under the laws of this state or under
16-26 the laws of the United States and domiciled in
16-27 this state which is authorized to receive deposits
16-28 in this state and which has a corporate structure
16-29 authorizing the issuance of capital stock.
16-30 (II) 'Depository financial institution' means a
16-31 'bank' or a 'savings and loan association.'
16-32 (III) 'Savings and loan association' means any
16-33 financial institution, other than a credit union,
16-34 chartered under the laws of this state or under
16-35 the laws of the United States and domiciled in
16-36 this state which is authorized to receive deposits
16-37 in this state and which has a mutual corporate
16-38 form;".
SECTION 9.
16-39 This Act shall become effective upon its approval by the
16-40 Governor or upon its becoming law without such approval and
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HB 6/AP
17- 1 shall be applicable to all taxable years beginning on or
17- 2 after January 1, 1996. The provisions of this Act shall not
17- 3 repeal any provision of HB 1101 if HB 1101 is passed at the
17- 4 1996 regular session of the General Assembly, becomes law,
17- 5 and becomes effective.
SECTION 10.
17- 6 All laws and parts of laws in conflict with this Act are
17- 7 repealed.
H. B. No. 6
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Office of the Clerk of the House
Robert E. Rivers, Jr., Clerk of the House
Last Updated on 01/02/97