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Dec 18, 2024
How do you accurately calculate total sales tax for different transaction types in Georgia?
To calculate Georgia sales tax:
Start with the 4% state rate.
Add the applicable local surtax (typically 2-4%).
Determine the taxable amount, including any e-commerce or SaaS transactions.
Apply the combined rate: For example, a $100 sale in a 3% local area results in $7 total tax (4% + 3%).
Consider exemptions: Services are generally exempt unless specified.
Deduct tax-exempt items before calculating tax.
Round to the nearest penny as per Georgia's rounding rules.
Accurate classification and application ensure compliance with Georgia's tax regulations.
