§ 170-33. Freeport exemptions.

(a)

All the following types of tangible personal property are exempted from ad valorem taxation, as provided in subsection (b) of this section, including all such taxes levied for educational purposes and for state purposes, within the county:

(1)

Inventory of goods in the process of manufacture or production which shall include all partly finished goods and raw materials held for direct use or consumption in the ordinary course of the taxpayer's manufacturing or production business in the State of Georgia. The exemption provided for herein shall apply only to tangible personal property which is substantially modified, altered or changed in the ordinary course of the taxpayer's manufacturing, processing, or production operations in this state.

(2)

Inventory of finished goods manufactured or produced within the State of Georgia in the ordinary course of the taxpayer's manufacturing or production business when held by the original manufacturer or producer of such finished goods. The exemption provided for herein shall be for a period not exceeding 12 months from the date the property is produced or manufactured.

(3)

Inventory of finished goods which, on January 1, are stored in a warehouse, dock, or wharf, whether public or private, and which are destined for shipment to a final destination outside the State of Georgia and inventory of finished goods which are shipped into the State of Georgia from outside this state and stored for transshipment to a final destination outside this state. The exemption provided for herein shall be for a period not exceeding 12 months from the date the property is stored in this state. All property that is claimed to be exempt under the provisions of this subsection shall be designated as being in transit upon the official books and records of the warehouse, dock, or wharf, whether public or private, where this property is being stored. All official books and records shall contain a full, true, and accurate inventory of all such property, including the date of the receipt of the property, the date of the withdrawal of the property, the point of origin of the property, and the point of final destination of the same, if known. The official books and records of any warehouse, dock, or wharf, whether public or private, pertaining to any in transit property, shall be at all times open to the inspection of all taxing authorities of this state and of any political subdivision of this state.

(4)

As used in this section, the following words, terms and phrases are defined as follows:

a.

Finished goods shall mean goods, wares, and merchandise of every character and kind, but shall not include unrecovered, unextracted, or unsevered natural resources, or raw materials, or goods in the process of manufacture or production, or the stock-in-trade of a retailer.

b.

Raw materials shall mean any material whether crude or processed that can be converted by manufacture, processing, or combination into a new and useful product, but shall not include unrecovered, unextracted, or unsevered natural resources.

(b)

All types of tangible personal property as stated in subsection (a) of this section shall be exempted at 100 percent of the value of such property.

(c)

Taxpayers desiring to make application for this exemption must do so on forms provided for this purpose by the taxing authorities of Fulton County and must supply any additional information that may be requested which is necessary to determine the qualification for and amount of said exemption.

(Code 1983, §§ 26-2-11—26-2-13)

State law reference

Freeport exemption, O.C.G.A. § 48-5-48.2.