Georgia Retail Association Priority Issues

Sales Tax Holiday Top Priority for 2004

Enthusiastic support for the renewal of sales tax holiday among GRA members will make that issue a priority for the Second Session of the 2003-2004 Term. GRA supports making Georgia 's ‘sales tax holiday' permanent. The Association believes that the back-to-school ‘sales tax holiday' provides meaningful tax relief to Georgia families with school age children and stimulates retail sales, thereby benefiting businesses and their employees. This year GRA will work with Representative Ron Borders of Valdosta and others to expand the holiday to include a number of back to college items.

Civil Justice Reform

Tort Reform, as discussed in another article in this newsletter, is also at the top of GRA's legislative wish list. For the most part, Georgia is a business-friendly state. But in the area of tort reform it lags behind its neighbors in instituting sorely needed reforms. GRA will support changes in the civil justice system which will ensure that standards are fair to all parties involved in civil lawsuits.

To that end, GRA will collaborate with other business interests to support legislation that will create a level playing field for all parties involved in civil suits, including placing a reasonable and fair limit on the amount of damages that may be awarded; and that will limit or restrict changes the venue. The Association will monitor the legislation and actively support those provisions that appear to be most beneficial to retail businesses.

Use Tax on Out-of-State Sales

GRA supports strict enforcement of Georgia use tax collections on items purchased out of state. Georgia consumers who do not pay sales tax on remote sales are required by law to report and pay an equivalent use tax to the state of Georgia . GRA recognizes that Georgia loses a significant amount of revenue, estimated to be $375 to $675 million, each year on out-of-state sales to Georgia residents. Further, failure by the state to collect the use tax on out-of state sales also places Georgia businesses at a competitive disadvantage with out-of-state merchants that do not collect sales taxes. GRA urges the Department of Revenue to pursue means of enforcing existing state law requiring payment of the state's use tax. To this end, GRA supports legislation that would allow Georgia to enter into the discussions that are occurring between 39 other states on the Streamlined Sales Tax Project.

Energy Star Tax Credits

GRA supports the adoption of legislation that would provide sales tax exemption for energy efficient products that meet or exceed the Energy Star® rating issued by the U.S. Department of Energy and the U.S. Environmental Protection Agency.