New Georgia Vehicle 'Title Tax' Takes Effect in March 2013

HB 386 replaces the annual ad valorem tax on newly purchased vehicles.

The so-called "birthday tax" that Georgia vehicle owners pay will end in March 2013 -- for people who purchase a new vehicle. Effective March 1, 2013, House Bill 386 removes the sales tax and the annual ad valorem tax on newly purchased vehicles. Instead, there will be a new title tax of 6.5 percent in 2013 -- only due each time the vehicle is sold and titled. It applies to dealer sales as well as sales between individuals.You'll pay this tax in the county where you register the vehicle. -- Will the new Georgia tax affect your decision to purchase a new vehicle? Use the comments box below to respond. However, you will continue to pay the annual ad valorem tax on vehicle(s) that you currently own. Other aspects of the new law:

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