Friday, June 19, 2009

Georgia tries to cool property tax increases

The Georgia Department of Revenue is moving to eliminate one excuse that local officials give when they're raising property taxes: The state made us do it. The department, at the direction of Gov. Sonny Perdue, is trying to make sure county officials know they don't have to revalue property every three years. The department is proposing a new regulation that, among other things, spells that out.

The state requires that counties keep property assessed at 40 percent of fair market value and that property be assessed uniformly. State officials say counties have interpreted the law to say property had to be revalued every few years. "We're essentially taking away that excuse so counties can run their own businesses and make sure they revalue properly," Perdue said. "But they won't be able to use the excuse that the state made us do it.

County officials say they don't know if the regulation, which could become final by the end of the summer, will have any impact. And they dispute the notion state officials often nurture that local government spending is out of control.

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