Ga. car tax law makes leasing less attractive
NewsCentral Staff
Story Created:
Jan 29, 2013 at 6:25 PM EDT
Story Updated:
Jan 29, 2013 at 6:25 PM EDT
ATLANTA (AP) - A new law on Georgia car taxes has made leasing a vehicle a less attractive and more expensive option than buying a car outright.
The Atlanta Journal-Constitution reports a bill that eliminated the birthday tax on new cars does not account for car leases - which represents about 42 percent of new car transactions in the state.
After March 1, consumers who buy new cars will pay a single 6.5 percent sales tax at the time of purchase. Consumers who lease cars will pay the same 6.5 percent title tax as people who buy cars outright, but will also have to continue paying monthly sales taxes in the jurisdiction the car was leased in.
The newspaper reports state lawmakers will likely tweak the car tax bill this year.
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Information from: The Atlanta Journal-Constitution, http://www.ajc.com
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