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APPLICATIONFORFREEPORT
INVENTORYEXEMPTION
SeeO.C.G.A.4
8‐5‐48.1,48‐5‐48.2,48‐5‐48.5,and48‐5‐48.6
RETURNCOMPLETEDFORMTOADDRESSLISTEDBELOW
TAXYEAR IFASSISTANCENEEDEDCALL ACCOUNTNUMBER
DUEDATE MAPANDPARCELI.D.NO NAICSNO.
COUNTYNAMEANDRETURNADDRESS
TAXPAYERNAMEANDADDRESS
Thelastdayforfilingthisapplicationtoreceivefull
exemptionisshownintheDUEDATEboxabove.
IffilingaftertheDUEDATE,areducedexemptionamount
maybeapplicableasfollows:iffiledApril2‐April30(66.67%
ofthefullexemption),iffiledMay1‐May31(58.33%),iffiled
onJune1(50%).FailuretofilebyJune1shallconstitutea
waiveroftheentireexemptionfortheyear(0.0%)
BUSINESSPHYSICALLOCATION
IFNAMEORMAILINGADDRESSISINCORRECT,PROVIDECORRECTDATA
NAME:
ADDRESS:
CITY,STATE,ZIP:
1.Describethetypeofbusiness:
2.Inventoryvaluesmustbereportedat100%fullcostatleveloftradewhichincludesfreight,burden,overhead,andotherchargesasofJanuary1oftaxableyear
3.Listthemethodofinventoryvaluationused:
_
__________________.Listthemethodofinventorycostidentification:___________________________
4.SUMMATIONOFINVENTORY
a.Totalvalueof‘AllInventory’heldonJanuary1oftaxableyear
$
b.Totalvalueofallinventoryheldas‘StockinTradeofaRetailer’asofJanuary1oftaxableyear
$
5.FREEPORTLEVEL‘1’(NOTE:NotallcountiesofferLevel1Freeport–checkwithcountyforappropriateexemption%foreachcategory)
a.“FinishedGoods”heldlongerthan12months
$
b.Packagingmaterials(boxes,cartons,cases,fillers,labels,liners,pallets,plastictrays,shrinkwrap,tape,etc.) $
c.Otherexpensedsupplies(i.e.gasoline,medicalsupplies,officesupplies,productionsupplies,safetygear,uniforms,etc.)
$
d.Sparepartsinventory
$
e.Enterthe‘FULLCOST’foreachcategorybelowandenterthecombined‘FULLCOST’forallcategorieshere:→
$
Category1–RawmaterialsandGoodsinProcessofaMANUFACTURER
______________________X*__________ =___________________________
‘FULLCOST’Category1Exemption% ‘EXEMPTIONAMOUNT’
Category2–“FinishedGoods”manufacturedinGeorgiaheldbyoriginalMANUFACTURERlessthan12months
______________________X*__________ =___________________________
‘FULLCOST’Category2Exemption% ‘EXEMPTIONAMOUNT’
Line5e‐Category3–“FinishedGoods”ofDISTRIBUTORheldlessthan12monthsdestinedforout‐of‐stateshipment
______________________X*__________ =___________________________
‘FULLCOST’fromPage2,Line8(e)Exemption% ‘EXEMPTIONAMOUNT’
Category4–“StockinTradeofaFULLFILLMENTCENTER”heldlessthan12months
______________________X*__________ =___________________________
‘FULLCOST’Category4Exemption% ‘EXEMPTIONAMOUNT’
f.ApplytheappropriateLevel1exemptionpercentagesaboveandenterthecombined‘EXEMPTIONAMOUNT’onthisline.
ThisrepresentsthetotalFreeportLevel‘1’Exemptionamount.
$
6.FREEPORTLEVEL‘2’(NOTE:NotallcountiesofferLevel2Freeport–checkwithcountyforappropriateexemption%)
a. EntertotalcostofallmerchandiseheldasinventoryfromLine‘4a’excludingamountsenteredonLines‘5b’,‘5c’,‘5d’,and‘5e’
$
b. MultiplyLine‘6a’by‘appropriateexemption%‘forLevel2Freeportandenteramountonthisline.
ThisrepresentsthetotalapplicableFreeportLevel‘2’Exemptionamount.
$
7.ATTACHANDFILETHISFORMWITHPT50P‐TAXPAYERRETURN
a.TotalFreeport‘1’&‘2’Exemption(addLines‘5f’and‘6b’andenteramounthereandonPT50P,Page1,Line‘P’)
$
b.TotalTaxableInventory(SubtractLine‘7a’fromLine‘4aandenteramounthereandonPT50P,Page1,Line‘I’)
$
PT50PF
Rev12
/
4
/
17
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8. EXPLANATIONOFWHATISEXEMPTEDBYFREEPORT
FREEPORTLEVEL1‐MANUFACTURINGORPRODUCTIONBUSINESS(seeO.C.G.A.48‐5‐48.1and48‐5‐48.2)
CATEGORY1.Inventoryofgoodsintheprocessofmanufactureorproductionwhichshallincludeallfinishedgoodsandrawmaterialsheldfordirectuseorconsumption
intheordinarycourseofthetaxpayersmanufacturingorproductionbusinessinthisstate.Thisexemptionshallapply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.Forpurposeofthisexemption
“RawMaterials”shallmeananymaterial,whethercrudeorprocessed,thatcanbeconvertedbymanufacturing,processing,oracombinationthereofintoanewand
usefulproductbutshallnotincludeunrecovered,unextractedorunseverednaturalresourcesorpackingmaterials.
CATEGORY2.Inventoryof“FinishedGoods”manufacturedorproducedwithinthisstateintheordinarycourseofthetaxpayermanufacturingorproductionbusiness
whenheldbytheoriginalmanufacturerorproducerofsuchgoods.Thisexemptionshallbeforaperiodnotexceeding(12)monthsfromthedatesuchpropertyis
producedormanufactured.
FREEPORTLEVEL1‐WHOLESALEORDISTRIBUTIONBUSINESS(seeO.C.G.A.48‐5‐48.1and48‐5‐48.2)
CATEGORY3.Inventoryof“FinishedGoods”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thisstateandinventoryoffinishedgoodswhichareshippedintothisstatefromoutsidethisstateandstoredfortransshipment
toafinaldestinationoutsidethisstate.Theexemptionshallbeforaperiodnotexceeding(12)monthsfromthedatesuchpropertyisstoredinthisstate.Suchperiod
shallbedeterminedbasedonapplicationofafirst‐in,first‐outmethodofaccountingfortheinventory.Theofficialbooksandrecordsofthewarehouse,dock,orwharf
wheresuchpropertyisbeingstoredshallcontainafull,true,andaccurateinventoryofallsuchproperty,includingthedateofthereceiptoftheproperty,thedateof
withdrawaloftheproperty,thepointoforiginoftheproperty,andthepointoffinaldestinationofthesame,ifknown.
CALCULATEINVENTORYQUALIFIEDFORFREEPORTLEVEL1‐CATEGORY3:
(a)Total“FinishedGoods”inventoryshipmentsfromthiscountyduringthelastcompletecalendaryear:
(b)Total“FinishedGoods”inventoryshipmentsfromthiscountyduringthelastcompletecalendaryeartoan
out‐of‐Statedestination:
(c)PercentageofOut‐of‐Stateshipments:(‘b’dividedby‘a’)
(d)Total“FinishedGoods”inventoryonJanuary1ofthisyear:(Excludeinventorystoredover(12)months)
(e)Estimatedout‐of‐Stateshipmentsthisyear:(multiply‘c’times‘d’)EnteronPage1,line5e‐Category3
(a) $
(b) $
(c) %
(d)$
(e) $
FREEPORTLEVEL1‐FULFILLMENTCENTER(seeO.C.G.A.48‐5‐48.1and48‐5‐48.2)
CATEGORY4.“StockinTradeofaFulfillmentCenter”meaninggoods,wares,andmerchandiseheldbyoneinthebusinessofmakingsalesofsuchgoodswhensuch
goodsareheldorstoredatafulfillmentcenterandheldlessthan12monthsandwhichismadeavailabletoREMOTEpurchaserswhopurchasebyelectronic,internet,
telephonic,orotherREMOTEmeans,andwheresuchstockwillbeSHIPPEDfromthecentertoalocationotherthanthefulfillmentcenter.
ForthepurposeofFreeportLevel1:
“FinishedGoods”means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.“StockinTradeofaRetailer”meansfinishedgoodsheldbyonein
thebusinessofmakingsalesofsuchgoodsatretailinthisstate,withinthemeaningofChapter8ofTitle48,whensuchgoodsareheldorstoredatabusinesslocation
fromwhichsuchretailsalesareregularlymade.Goodsstoredinawarehouse,dock,orwharf,includingawarehouseordistributioncenterwhichispartoforadjoinsa
placeofbusinessfromwhichretailsalesareregularlymade,shallnotbeconsideredstockintradeofaretailertotheextentthatthetaxpayercanestablish,througha
historicalsalesorshipmentanalysis,eitherofwhichutilizesinformationfromtheprecedingcalendaryear,orotherreasonable,documentedmethod,theportionor
percentageofsuchgoodswhichisreasonablyanticipatedtobeshippedoutsidethisstateforresalepurposes.“StockinTradeofaFulfillmentCenter”meansgoods,
wares,andmerchandiseheldbyoneinthebusinessofmakingsalesofsuchgoodswhensuchgoodsareheldorstoredatafulfillmentcenter.
FREEPORTLEVEL2(seeO.C.G.A.48‐5‐48.5and48‐5‐48.6)
FREEPORTLEVEL2.Inventoryoffinishedgoodsheldbyoneinthebusinessofmakingsalesofsuchgoodsinthisstateandwhichincludesgoods,wares,and
merchandiseofeverycharacterandkindconstitutingabusiness’inventorythatwouldnototherwisequalifyforaLevel1freeportexemption
9. SUPPORTINGINFORMATION:a.Physicallocationofinventoryinthiscounty.(List)
b. DoesthetaxpayerhavewrittenreportstosupportthisFreeportexemption?NO(__)Yes(__)Providethelocationofsuchbooksandrecords.
c. ProvideNAMEandCONTACTinformationforpersonresponsibleforansweringquestionspertainingtothisinventory.
10. OATHOFPERSONMAKINGAPPLICATIONFOREXEMPTION:Idosolemnlyswear,thatIhavecarefullyread(orhaveheardread)andhavedulyconsideredthe
questionspropoundedintheforegoingtaxlist,andthatthevalueplacedbymeonthepropertylistedasshown,isthetruemarketvaluethereof,andIfurtherswear,or
affirm,thatIreturned,forthepurposeofbeingtaxedthereon,everyspeciesofinventorythatIowninmyright,orhavecontrolof,eitherasagent,executor,administrator,
orotherwise;andinmakingthisapplication,forthepurposeofbeingtaxedthereon,Ihavenotattempted,eitherbytransferringmypropertytoanotherorbyanyother
means,toevadethelawsgoverningtaxationinthisstate.Idofurtherswear,oraffirm,thatinmakingthisapplication,Ihavedonesobyestimatingthetrueworthand
valueofeveryspeciesofinventorycontainedtherein.”
(TaxpayerSignature) (Title) (Date)
(PreparersSignature) (Title) (Date)
11.DISPOSITIONOFTHECOUNTYBOARDOFTAXASSESSORS:
~APPROVED~ ~DISAPPROVED~