HB274: HB274 Alternative ad valorem tax; motor vehicles; change certain definitions

Georgia charges a one-time alternative ad valorem tax (a state and local property tax on vehicles) when a car changes ownership, but transfers between certain immediate family members can qualify for exemptions or reduced treatment under Chapter 5C of Title 48 of the Official Code of Georgia Annotated. This bill rewrites the definition of 'immediate family member' in O.C.G.A. § 48-5C-1 to add siblings, grandparents, and grandchildren to the existing list of spouse, parent, and child. By broadening who counts as immediate family, more vehicle transfers between relatives could qualify for the family-transfer treatment under this tax law. The bill would take effect as soon as the Governor signs it or it otherwise becomes law without a signature, and it repeals any conflicting laws.

• Rewrites the definition of 'immediate family member' in Georgia's motor vehicle title tax law (O.C.G.A. § 48-5C-1) to add siblings, grandparents, and grandchildren.
• Keeps spouse, parent, and child in the definition, so the change expands rather than replaces the existing list.
• Applies to Chapter 5C of Title 48, the section of Georgia law governing the alternative ad valorem tax (a one-time tax based on a vehicle's value charged when title changes hands).
• Sets the effective date as the date the Governor signs the bill or it becomes law without a signature.

Georgia vehicle owners transferring cars to relatives, including siblings and grandparents or grandchildren, who were not previously covered by the immediate family definition used to determine treatment under the state's vehicle title tax law.

Vehicle title transfers between family members can receive different tax treatment than sales to unrelated buyers under Georgia's alternative ad valorem tax. Adding siblings, grandparents, and grandchildren to the immediate family definition means more relatives transferring a car between each other could qualify for that treatment.

• Section 1 amends O.C.G.A. § 48-5C-1 by revising paragraph (2) to define 'immediate family member' as spouse, parent, child, sibling, grandparent, or grandchild.
• Section 2 sets the effective date as the date of the Governor's approval or the date the bill becomes law without approval.
• Section 3 repeals any existing laws that conflict with this Act.

1. 2025-02-10House Second Readers (House)
2. 2025-02-06House First Readers (House)
3. 2025-02-05House Hopper (House)

• Trey Kelley (R, HD-016)Primary sponsor
• Vance Smith (R, HD-138)
• Shaw Blackmon (R, HD-146)
• Clint Crowe (R, HD-118)
• Bruce Williamson (R, HD-112)
• Charles Martin (R, HD-049)

• vehicle taxes
• ad valorem tax
• family transfers
• motor vehicles