Georgia Sales Tax on Construction Materials Calculator
Calculate the Georgia sales tax owed on construction materials purchases, including the state rate and applicable local rates by county.
Formula
Taxable Base = Total Material Cost − Exempt / Non-Taxable Portion
Combined Tax Rate = Georgia State Rate (4%) + County Local Rate (%)
Sales Tax Due = Taxable Base × Combined Tax Rate
Total Cost = Total Material Cost + Sales Tax Due
Example: $15,000 in materials in Fulton County (4% local) with no exemptions:
Taxable Base = $15,000 − $0 = $15,000
Combined Rate = 4% + 4% = 8%
Sales Tax = $15,000 × 0.08 = $1,200.00
Total Cost = $15,000 + $1,200 = $16,200.00
Assumptions & References
- Georgia's state sales tax rate is 4% per O.C.G.A. § 48-8-30.
- Most Georgia counties levy a combined local option sales tax (LOST, SPLOST, ELOST, TSPLOST) totaling 3%, bringing the typical combined rate to 7%. Select counties (e.g., Fulton, DeKalb, Chatham, Clarke) have a 4% local rate for a combined 8%. Cobb and Floyd counties have a 2% local rate for a combined 6%.
- Construction materials purchased for incorporation into real property are generally subject to Georgia sales tax at the time of purchase.
- Under a lump-sum contract, the contractor is deemed the consumer and must pay sales/use tax on all materials (Georgia DOR Policy Bulletin SUT-2017-01).
- Under a cost-plus contract, the contractor may collect and remit tax on materials billed to the owner.
- Exempt projects include sales to the State of Georgia, its political subdivisions, and qualifying nonprofit organizations under O.C.G.A. § 48-8-3. A valid exemption certificate must be on file.
- This calculator does not account for city-level taxes, special district taxes, or project-specific exemptions beyond those listed. Consult the Georgia Department of Revenue for the most current rates and rulings.
- Results are estimates only and do not constitute tax or legal advice.