Transcription

1

2

3

4

5

6

7

8

9

10 Georgia State Tax Exempt Information Questions If you have any questions concerning Sales Tax Exemption status in the State of Georgia, you may obtain information by calling or writing: Department of Revenue Sales & Use Tax Division Trinity Washington Building P.O. Box Atlanta, GA (404) TAX EXEMPT All of the following are eligible for tax exemption. 1. Georgia state and local officials traveling on official business. 2. Diplomats are exempt based on Federal Treaties. There are no requirements as to the length of stay or method of payment. Make a photocopy of the diplomat s Tax Exemption Card. This card is color coded and readily identified as to which tax the diplomat is exempt from. 3. A citizen seeking emergency housing when they re home has been rendered unlivable by disaster. 4. Federal government agencies when the hotel is paid directly by the agency with a negotiable instrument. (See Federal Government section for further information) 5. Stay of greater than 10 days (exemption of occupancy tax only), the taxes being collected and paid for the first 10 days and exempted for the balance of the continuous stay. 6. Stay of greater than 90 days (exemption of sales tax only), the taxes being collected through the 90 th day. On the 91rst day the room becomes tax exempt and all sales tax should be adjusted at the time of checkout. 7. All government agencies must pay the local occupancy tax unless they meet requirement #1 or requirement #5. 8. The University System of Georgia is exempt from taxes only if paid directly by check drawn on college funds (non-student funds held by the college). This does not include private colleges. It is up to the educational institution to provide proof of eligibility. NON EXEMPT The following are NOT exempt from paying sales and occupancy taxes. 1. Church groups. While these groups are exempt from paying income taxes, they are typically not exempt from paying sales and use taxes. 2. Companies conducting business directly with the Federal or State Government. In order to qualify for tax exempt status, the charges must be paid directly by the government agency and not with a personal means of payment to be reimbursed by the governmental agency. 3. Charitable or Educational organizations are not exempt. 4. Certificates of Exemption for other states or from the IRS for Income Tax Exemption are entirely irrelevant. They do not confer exemption in Georgia. FEDERAL GOVERNMENT Federal Government employees requesting exemption should furnish the hotel with a form ST-5. The state requires that payment be made directly by the exempt governmental agency. Payment made by personal check, credit card or cash will not be deemed payment by the agency regardless of whether such payment is reimbursed by the agency to its representatives. The only acceptable credit cards for tax exemption are VISA or MASTERCARD that are centrally billed and paid by the Federal Government. Examples of each type can be found on the back of this page with the requirements of each for verification of central billing. Questions If you have any questions concerning Occupancy Tax Exemption status in the City of Atlanta, you may obtain information by writing: Division of Internal Audit and Licensing Office of Revenue-Business Tax Division 55 Trinity Ave. SW Room 350 Atlanta, GA THIS DOCUMENT IS INTENDED FOR HOTEL USE ONLY.IF THE GUEST HAS ANY QUESTIONS, HE/SHE MAY CONTACT THE GEORGIA STATE OR DEKALB COUNTY DEPARTMENT OF REVENUE.

11 INTEGRATED CARDS PREFIX 4486, 4716, & 5568 TRAVEL CARD PREFIX 4486, 4716 & 5568 Sixth digit must be a 6, 7, 8, 9 or 0 for exemption SUMMARY 7% Occupancy Tax Exemption: - Beginning the 11 th day of an extended stay. All taxes adjusted at checkout. - State and Local Government Officials traveling on official business. - Individuals who are seeking emergency housing when their home is rendered unlivable by a disaster. - Foreign Diplomats with the proper tax exemption identification. - Federal Government Officials are not exempt from Occupancy Tax unless staying for more than 10 days. 8 % State Sales Tax Exemptions: - Beginning the 91rst day of an extended stay. All taxes adjusted at checkout - State and Local Government Officials traveling on official business. - Federal Government officials where the hotel billing is paid directly by the Government Agency either by check or a Government issued travel card shown above. - Individuals who are seeking emergency housing when they re home is rendered unlivable by a disaster. - Foreign Diplomats with the proper tax exemption identification.

12 Tax Exemption Examples 1. School Board of Education for any County within the State of Georgia and traveling on official School Business. *(Exempt from both Sales and Occupancy Taxes) *(Must have both Sales Tax Exemption Form and Occupancy Tax Form) 2. State Employee from any Department of the State of Georgia and traveling on official State Business. *(Exempt from both Sales and Occupancy Taxes) *(Must have both Sales Tax Exemption Form and Occupancy Tax Form) 3. Federal Government Employee from any Department of the Federal Government and traveling on official business. Payment must be made via Agency check, Direct Billed directly to the agency, or acceptable Federal Credit Card (see examples). *(Exempt from Sales Tax Only) *(Occupancy Tax exemption only after 11 day of stay) 4. Church Group that is Non-Profit Status. *NOT EXEMPT. Must pay all taxes. 5. Traveler conducting business with a Federal or State Agency. *NOT EXEMPT. Must pay all taxes. 6. Person traveling with Certificate of Exemption from any state other than Georgia. *NOT EXEMPT. Must pay all taxes. 7. Traveler paying for room and tax that is attending a meeting for a taxexempt group. Only if traveler does not fall under #3 above. *NOT EXEMPT. Must pay all taxes. 8 Employee of a Federal Government agency paying by cash or personal check. *NOT EXEMPT. Must pay all taxes.

13 PURCHASE CARD Centrally billed to agency. Fully Exempt from Taxes

14 TRAVEL CARD Sixth digit MUST be a 6,7,8,9,0 which indicates central billing. Sixth digit of 1,2,3,4 indicates an individually billed card. (billed to individual and reimbursed by the government) Individually billed cards are NOT tax exempt in the State of Georgia. When submitting expenses, government employee should state that the taxes paid are legally imposed in the State of Georgia.

15 INTEGRATED CARD If used at the hotel, the Sixth digit MUST be a 6,7,8,9,0 which indicates central billing. Sixth digit of 1,2,3,4 indicates an individually billed card. (billed to individual and reimbursed by the government) Individually billed cards are NOT tax exempt in the State of Georgia. When submitting expenses, government employee should state that the taxes paid are legally imposed in the State of Georgia.

16 FLEET CARD - Centrally bill to agency. Fully Exempt from Taxes

17 POSTING PROCEDURES 1. If the guest meets one of the above criteria for tax exemption, staple a copy of the proof of tax exemption to the guest registration card. 2. At CHECKOUT post two separate adjustments for the taxes. Tax adjustments must be posted to the correct posting code line. Once the adjustment has been posted, give the guest an updated copy of the folio reflecting the tax adjustment. Print a second copy of the folio and attach to the proof of tax exemption attached to the registration card. 3. The Posting code for a Sales Tax Adjustment is The Posting Code for an Occupancy Tax Adjustment is At the end of your shift, any folios with tax adjustments including tax exemption certificates should be placed in Tax Exempt mailbox (Accounting) for proper reporting at the end of the month.