SPLOST question: How is the SPLOST collected?

Augusta voters are set to vote on the consolidated government’s latest special purpose local option sales tax 7, by a referendum that appears on the May 20 ballot.


The Augusta Chronicle addresses the 1 percent sales tax collection in a continuing series until election day.


Q: How is the special purpose local option sales tax collected?

A: Although the funds are expended by the local government, special purpose, local option sales taxes are not collected by the tax commissioner but by retailers, manufacturers, and occasionally, users who don’t otherwise pay sales taxes. Retailers and manufacturers collect the special purpose local option sales tax at the point of purchase and remit payment to the Georgia Department of Revenue.

In Augusta-Richmond County, where retail goods are also subject to an additional 7 percent in sales taxes, including 4 percent for the state, 1 percent for the Transportation Investment Act, 1 percent used to roll back property taxes and 1 percent for Richmond County Board of Education’s capital outlay needs, the special purpose local option sales tax generates approximately $3 million a month toward special purpose local option sales tax-funded projects, according to city Deputy Finance Director Tim Schroer.



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