Georgia residents can vote for or against three state measures related to taxation on the ballot for next month’s Nov. 5 general election.

If passed, Georgia Amendment 1 would allow local governments to offer a statewide exemption from the ad valorem tax or homestead taxes based on a property’s assessed value. Georgia Amendment 2 would create a fiscal court in the judicial system.

Georgia Referendum A would increase the maximum value of tangible personal property that could be exempt from taxes.

Early in-person voting begins October 15th and ends November 1st. Residents of the Atlanta metro area can vote at several locations in their county.

Here you will find out what you need to know about the respective measures.

Georgia Amendment 1: Statewide exemption from local homestead tax

Georgia Amendment 1 would establish a statewide exemption from the local homestead tax that would apply uniformly to all counties, local school systems, consolidated governments and municipalities unless they opt out.

The measure would amend Article VII of the Georgia Constitution, which deals with taxation and the state’s finances. The Georgia House of Representatives passed and passed House Resolution 1022 unanimously, and the Georgia State Senate passed the resolution by a vote of 42-11.

The statewide exemption would freeze the value of all homesteads in Georgia based on an annual Consumer Price Index assessment, meaning the value of a home would increase by the same percentage as the value of a home in another part of the state.

According to Republican Rep. Beth Camp, the change would create much more uniformity and continuity from year to year across the state. Camp said she received complaints from people who didn’t understand why they were paying much more in taxes even though the property tax rate in their counties wasn’t raised.

“Unfortunately, there are some districts that have chosen not to do assessments until they are essentially in big trouble because they have to pay fines, and then when they actually have to do the assessment the amount increases so exponentially, that it is “The crisis took everyone by surprise, especially low-income earners or retirees who did not expect these huge increases,” Camp said.

In these cases, residents could not complain about the tax increase because the increase was based not on the millage tax rate itself, which residents could appeal at a public hearing, but on the assessment of property value.

Camp said she hoped the change would make homeowners feel more in control of the taxes they pay.

“I honestly think it would benefit so many people, and not just financially, but I think we have kind of a complicated property tax system with millage rates. Many people don’t fully understand that,” said the state representative.

“The public would have more of a say if they really understood that going to a property tax meeting and complaining about the assessment because the assessment has already been made is somehow moot,” she added. “I hope this makes the process much more transparent for everyone so that property owners have more say in the taxation process.”

Georgia Amendment 2: Financial court in the judiciary

Georgia Amendment 2 would create a tax court with statewide jurisdiction that would parallel superior courts. Currently, the Tax Court, which hears tax cases, is in Georgia’s executive branch, so Amendment 2 would establish a court in the judicial system.

The Fulton County Superior Court is currently hearing appeals of all tax court cases. However, according to Georgia state Rep. Chuck Martin, the higher court is not intended to be an appeals court and does not specialize in tax law. The change would ensure that the Georgia Court of Appeals hears an appeal of a decision in a tax case.

“It frees up the superior court in terms of time, it guarantees the proper consideration of an appeal and puts it in a jurisdiction that is accustomed to operating in an appeal process,” he said.

If passed, the measure would amend Article VI of the Georgia Constitution, which governs the state’s judicial system. The Georgia House of Representatives voted unanimously to adopt House Resolution 598 on February 27, and the Georgia Senate adopted the resolution almost unanimously on March 20.

Martin said he expects the amendment to pass in November.

“I think it’s taxpayer friendly. It’s citizen-friendly,” he said. “None of the rules of evidence change, so this does not change the way the court views certain issues. This is a purely operational matter designed to clarify, simplify and speed up the process so that citizens have access to a full and due process.”

Georgia referendum A: Tax Exemption for Tangible Personal Property

Finally, Georgia’s Referendum A would increase the property tax exemption for tangible personal property valued at $7,500 or less to real property valued at $20,000 or less.

Members of the Georgia General Assembly jointly supported House Bill 808 to reduce the tax burden on tangible personal property such as office supplies and equipment. The Georgia Senate unanimously approved HB 808 on March 26.

Georgia last raised the cap on the tangible property tax exemption in 2002, when voters passed Referendum E to raise the cap from $500 to $7,500.

Republican Rep. Mike Cheokas, one of the bill’s sponsors, said Referendum A seeks to ease the burden of inflation and the impact of COVID-19 on small businesses. Companies already pay sales tax on equipment such as computers, machinery and office supplies, the prices of which have increased over the years.

“They’ve already paid a tax, so now they have to pay another tax on something that’s already been taxed,” he said.

As chairman of the Small Business Development Committee in the Georgia House, Cheokas said people with small businesses raised the issue of raising the tax exemption limit with him, which led him to push for the referendum.

“There was a lot of support from business for this. Lots of support. And we’re talking about mom-and-pop operations. $20,000 for General Motors is nothing, but for the one- or two-man accounting firm or the solo attorney or the guy who does lawn work and needs to buy a new lawn mower, that’s important to the small business owner,” Cheokas said.