Ga St 3 Tax – Fill Out and Use

Sales and Use Tax Return (ST-3) Instructions

**ATTENTION**

Effective date: This Form ST-3 is effective for sales beginning April 1, 2018.

Important changes to Form ST-3:

•Transportation local option taxes (TSPLOSTs) are no longer reported separately. TSPLOSTs are now reported in Part B on the same line with other local sales and use taxes.

•The City of Atlanta no longer has a stand-alone jurisdiction code. Use 044A to report sales sourced to DeKalb County inside the City of Atlanta. Use 060A to report sales sourced to Fulton County inside the City of Atlanta. See Part B instructions below for more information.

•TSPLOST-exempt sales must now be reported separately. Add “TE” to the jurisdiction. For example, for TSPLOST-exempt sales sourced to Fulton County outside the City of Atlanta, use 060TE; and use 060ATE for TSPLOST-exempt sales sourced to Fulton County inside the City of Atlanta. See Part B instructions below for more information.

•Sales of tax-exempt “food and food ingredients” sourced to DeKalb County outside the City of Atlanta must be reported separately using code 044F. See Part B instructions below for more information. (Sales of “food and food ingredients” sourced to DeKalb County inside the City of Atlanta are reported with non-“food and food ingredients” sales using code 044A.) See Part B instructions below for more information.

Sourcing: Generally, sales sourced to a jurisdiction include all sales of property in which the property is delivered to the purchaser in the jurisdiction and sales of services that are performed in the jurisdiction. Please refer to O.C.G.A. § 48-8-77 for specific sourcing rules.

Electronic filing: To file and pay electronically, please visit the Georgia Tax Center at https://gtc.dor.ga.gov. Additional information, instructional videos, and frequently asked questions about electronic filing can be found at http://dor.georgia.gov/georgia-tax-center-info.

General Instructions:

Record the Sales and Use Tax Number (STN), name, and address of the registered taxpayer. The Period Ending should be the end date (mm/dd/yy) of the reporting period. Check the Amended Return box if you are amending a previously filed return for the same period. Check the No Tax Due box if there were no taxable sales during this period. If there has been no sales and use tax activity during the period, do not complete this form. Please check the No Sales/Use Tax Activity box on Page 4, and complete and submit the payment voucher (Form PV-ST Sales and Use Tax Voucher) only.

Part A - Tax Summary

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1Record total state sales (all sales sourced to the State of Georgia), including leases and rentals.

2Record total exempt state sales, including leases and rentals. Include all sales that

are exempt from state sales tax, even if such sales are subject to local sales tax.

3Subtract exempt state sales (Line 2) from total state sales (Line 1) and record taxable

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state sales.

4Complete Part B, and record the total sales tax from Part B, Line 21.

5 Record the total use tax from Part B, Line 26.

6 Record the pre-paid local sales/use tax for on-road motor fuel (from Form ST-3 Motor Fuel), if applicable.

7 Record total sales/use tax collected for reporting period from taxpayer accounting records.

8 Add Line 4 + Line 5 + Line 6.

9 Subtract Line 8 from Line 7 to calculate excess tax collected. Include excess tax collected in the appropriate sales/use category for vendor’s compensation in Part C.

10 Complete Part C, and record the total vendor’s compensation from Part C, Line 5. 11 Record previous prepaid estimated tax, if applicable. Please reference your annual

prepaid estimated tax letter.

12 Record current prepaid estimated tax, if applicable. Please reference your annual prepaid estimated tax letter.

13 Add Lines 8 and 9, subtract Lines 10 and 11, and add Line 12 for the total amount due.

Part B - Sales Tax Distribution Table

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1Record the taxable state sales (total sales sourced to the State of Georgia LESS sales of energy to manufacturers and all other state tax exempt sales). Multiply this amount by the rate indicated and record the sales tax amount for the state.

2Record taxable sales sourced to DeKalb County inside the City of Atlanta. Do not include sales that are exempt from one or more local taxes. For example, do not include TSPLOST-exempt sales.

Multiply taxable sales by the indicated rate, and record the amount in the “sales tax amount” column.

3Record TSPLOST-exempt sales sourced to DeKalb County inside the City of Atlanta. Generally, TSPLOST-exempt sales include sales of fuel used for off-road heavy-duty equipment, off-road farm or agricultural equipment, or locomotives; and motor fuel as defined in O.C.G.A. §48-9-2(9) for public mass transit.

Multiply the sales by the indicated rate, and record the amount in the “sales tax amount” column.

4Record taxable sales sourced to DeKalb County outside the City of Atlanta that are not sales of tax-exempt “food and food ingredients”. Do not include sales that are exempt from one or more local tax.

Multiply the taxable sales by the indicated rate, and record the amount in the “sales tax amount” column.

5Record sales of tax-exempt “food and food ingredients” that are sourced to DeKalb County outside the City of Atlanta.

Multiply the sales by the indicated rate, and record the amount in the “sales tax amount” column.

6Record taxable sales sourced to Fulton County inside the City of Atlanta. Do not include sales that are exempt from one or more local taxes. For example, do not include TSPLOST-exempt sales.

Multiply taxable sales by the indicated rate, and record the amount in the “sales tax amount” column.

7Record TSPLOST-exempt sales sourced to Fulton County inside the City of Atlanta. Generally, TSPLOST-exempt sales include sale of fuel used for off-road heavy-duty equipment, off-road farm or agricultural equipment, or locomotives; and motor fuel as

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defined in O.C.G.A. §48-9-2(9) for public mass transit.

Multiply the sales by the indicated rate, and record the amount in the “sales tax amount” column.

8-19 Use Lines 8-19 and addendum pages to record taxable sales sourced to other jurisdictions. List the county name, code (see rate charts), and dollar amount of taxable sales. Multiply the amount of taxable sales by the rate, and record the amount in the “sales tax amount” column.

Note 1: Sales of energy to manufacturers must be recorded by jurisdiction on a separate line. Use the jurisdiction code followed by "E" (e.g., 060E). The rate chart for energy sold to manufacturers is located at https://dor.georgia.gov/sales-tax-rates-current-historical-and-upcoming.

Note 2: TSPLOST-exempt sales must be recorded by jurisdiction on a separate line. Use the jurisdiction code followed by "TE" (e.g., 060TE). The rate chart for TSPLOST-exempt sales is located at https://dor.georgia.gov/sales-tax-rates- current-historical-and-upcoming.

20If you recorded sales on addendum(s), enter the total sales tax amount from the addendum(s). Additional addendum pages (Form ST-3 Addendum Sales) are located at http://dor.georgia.gov.

21Record the sum of Lines 1-20 as total sales tax and record this amount on Part A, Line 4.

Part B – Use Tax Distribution Table

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22-24 Use Lines 22-24 and addendum(s) to record state and local use tax by jurisdiction of use. For each entry, record the jurisdiction, and reason code. Use tax is due if applicable Georgia sales tax was not paid on an item purchased or leased and that item has been placed into use within Georgia. Jurisdiction of use means the jurisdiction in which the product was first used in Georgia. The use tax reason codes are:

Code Reason

01Georgia use – item purchased tax-paid in Georgia and used in another jurisdiction having a higher local tax rate.

03Import-use (state tax only). The jurisdiction “State” (000) must be used for this code.

Examples of taxable transactions and reason codes include:

A contractor purchases an item for $600.00 in a Georgia jurisdiction where the total sales tax rate is 6% and uses the item to fulfill a contract in a jurisdiction where the total sales tax rate is 8%. The contractor owes additional use tax of 2% and should record local use tax due of $12.00 ($600.00 x .02). The use tax reason code is 01.

A Georgia furniture manufacturer withdraws a table worth $700.00 from inventory to

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use in the business’s break room. The manufacturer owes state and local use tax based on the fair market value of the table at the rate in effect in the jurisdiction where the withdrawal from inventory occurs. The manufacturer should calculate the use tax due by multiplying the combined state and local use tax rate by $700.00 and recording the resulting use tax. The use tax reason code is 02.

A Georgia resident or Georgia business purchases an item for $800.00, and the seller does not charge sales tax. The purchaser owes use tax based on the rate in effect in the jurisdiction where the purchaser receives the item. The purchaser should calculate state use tax by multiplying the applicable state use tax of 4% by $800.00 and recording the resulting state use tax due with the use tax reason code

03.The purchaser should calculate the local use tax due by multiplying the applicable local use tax rate by $800.00 and recording the resulting local use tax due with the use tax reason code 04.

A Georgia resident or Georgia business purchases a $900.00 item outside of Georgia, pays the other state’s 5% state sales tax at the time of purchase and returns to Georgia with the item. The purchaser will receive credit against Georgia’s 4% state use tax due and thus owes no additional state use tax. The purchaser owes local use tax at the rate in effect in the jurisdiction where the purchaser lives or where the business is located. The purchaser should calculate the local use tax due by multiplying the applicable local use tax rate by $900.00 and recording the resulting local use tax due. The use tax reason code is 04.

25If you recorded uses on addendum(s), enter the total use tax amount from the addendum(s). Additional addendum pages (Form ST-3 Addendum Use) are located at http://dor.georgia.gov.

26Record the sum of Lines 22-25 as total use tax, and record this amount on Part A, Line 5.

Part C – Vendor’s Compensation Calculation

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1Calculate the total state and local sales and use tax on non-motor fuel sales by adding Lines 4, 5, and 9 of Part A and subtracting sales and use tax on off-road motor fuel, if applicable. Record the first $3000 of state and local sales and use tax on non-motor fuel sales in the "Tax Amounts" column. Multiply the amount in the "Tax Amounts" column by the rate. Record the result in the "Vendor's Compensation" column.

2Record the amount of state and local sales and use tax on non-motor fuel sales that exceeds $3000 in the "Tax Amounts" column. Multiply the amount in the "Tax Amounts" column by the rate. Record the result in the "Vendor's Compensation" column.

3Record pre-paid local sales/use tax for on-road motor fuel (from Form ST-3 Motor Fuel), if applicable. Multiply the tax amount by the rate. Record the result in the "Vendor's Compensation" column.

4If applicable, record the state and local sales and use tax on off-road motor fuel in the "Tax Amounts" column. Multiply the amount in the "Tax Amounts" column by the rate. Record the result in the "Vendor's Compensation" column.

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5Record the sum of Lines 1, 2, 3, and 4; and record this amount on Part A, Line 10.

Part D – Bad Debt Reporting

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1Record bad debt losses incurred on taxable Georgia sales.

2Record recoveries on Georgia bad debt that was previously written off.

Part E – Certification and Signature

The return must be completed and signed in order to be considered timely filed.

Additional Instructions

Amended Returns

An amended return must be submitted on an ST-3 Sales and Use Tax Return with the Amended Return box checked. The amended return should reflect the changes to the original sales and use tax return information as well as the unchanged data.

Master Accounts

Any dealer with four or more locations must file their Sales and Use Tax Return on the Georgia Tax Center (https://gtc.dor.ga.gov).

Penalty and Interest on Delinquent Returns

•Returns and payments are considered timely if postmarked by the due date of the return (the 20th day following the close of the reporting period). Taxpayers will be billed penalty and interest for all returns and payments postmarked after this date.

•Penalty is calculated separately for state and local taxes in aggregate. A penalty of 5% (.05) of the tax due or five dollars ($5.00), whichever is greater, will be billed after the return is processed. This penalty will be billed for each month, or fraction of a month, for which the return is delinquent. The maximum penalty amount will be 25% (.25) or twenty-five dollars ($25.00), whichever is greater.

•For all periods beginning before July 1, 2016, interest is computed at 1% per month. For periods beginning on or after July 1, 2016, the annual interest rate will be the bank prime loan rate published on or after January 1 of each calendar year plus 3%. Interest will accrue on the tax amount owed from the date the tax is due until the tax is paid.

•Vendor’s compensation is only given when both the payment and return are submitted timely. Taxpayers who are mandated to file electronically will not receive vendor’s compensation if a paper return and/or payment is submitted.

Mailing Instructions

Mail the return to the following address:

State of Georgia, Department of Revenue

PO BOX 105408

Atlanta, GA 30348-5408

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Additional forms and information are on the Department’s website at http://dor.georgia.gov.

If you need additional assistance, please call 1-877-423-6711 or call your regional office. A list of the regional offices can be found at http://dor.georgia.gov.