For Peachtree City Councilman Eric Imker, a new sales tax is better than increased property taxes. It would bring in more money for local governments but would be revenue-neutral for taxpayers, Imker contends.
Imker is asking that the Peachtree City Council consider supporting a countywide 1-percent special purpose local option sales tax. He presented the idea at the April 2 council meeting.
Referencing an April 2 letter to County Administrator Steve Rapson, Imker said the idea for a possible SPLOST was his own initiative.
Citing the contents of the letter, Imker told Rapson he is “interested in a possible ballot initiative this November to ask the voters if this is something they’d want to consider.
Imker said he had already spoken with Commissioner Steve Brown and others and a SPLOST is something they would consider.
“The concept in PTC is to reduce our PTC mill rate 1.5 mills and ask for a countywide 1 percent SPLOST. In PTC we’d trade a $150 lower property tax bill on an average home but add $150 for sales tax on average,” Imker said in the letter.” Net zero for PTC tax payers. We’d lose (approximately) $2.6 million in property tax revenue but gain (approximately) $6 million in SPLOST. Net (approximately) $3.4 million favorable for PTC. The numbers may be off slightly but should be within reason for discussion purposes.”
Imker said the county could approach the issue in the same way.
“Reduce (the county) mill rate but the net effect on the average taxpayer may be close to zero since the cost of a 1 percent sales tax would replace it,” said Imker in the letter.” The net gain for the county might be in the range of $8 million.”
Imker said that, if adopted in a referendum, citizens would need to be informed that the millage rate would have to increase if the SPLOST ever went away.
Councilman Mike King after Imker’s comments at the April 2 meeting said he liked Imker’s approach though he challenged the $150 figure attributed to Peachtree City residents.
