Georgia’s local option sales taxes are a set of 1% levies that counties, cities, and school boards stack on top of the state’s 4% sales tax to fund general operations, capital projects, schools, water and sewer work, transportation, and property tax relief. The most common are LOST, SPLOST, ESPLOST, MOST, TSPLOST, and the newer FLOST. Each one has its own statute, its own voter referendum, and its own rules about what the money can buy and how long it can be collected.
How the Local Layers Add Up
Georgia’s base state sales and use tax rate is 4%. Every local levy authorized under Title 48, Chapter 8 of the Georgia Code adds an additional 1%, or in the case of the Floating Local Option Sales Tax, potentially a fraction of a percent. Because several of these can overlap in the same county, the combined rate at the register in most Georgia counties lands between 7% and 8%, and a few areas run higher. The Georgia Department of Revenue publishes quarterly rate charts showing the exact combined rate for every county and city.
A single county might be collecting LOST for general operations, SPLOST for a new courthouse, ESPLOST for school construction, and TSPLOST for road widening all at once. Some of these taxes are effectively ongoing (until voters end them); others expire on a fixed schedule; and a few are restricted to specific projects listed on the ballot before the first dollar comes in.
Local Option Sales Tax (LOST)
LOST is the general-purpose workhorse. Authorized under O.C.G.A. § 48-8-80 through § 48-8-96, this 1% tax funds day-to-day operations of county and municipal governments: law enforcement, fire protection, parks, and administrative services. Revenue flows into general funds, giving local leaders flexibility that project-specific taxes don’t allow.
The trade-off is a firm connection to property tax relief. The General Assembly designed LOST so the revenue offsets what would otherwise be collected through property taxes. O.C.G.A. § 48-8-91 requires local governments to show on every property tax bill what the homeowner would have owed without LOST, making the reduction visible on the page rather than theoretical. The law also bars local governments from using their LOST share to grow budgets beyond what other revenue sources could have raised.1Justia Law. Georgia Code 48-8-89 – Distribution and Use of Proceeds
LOST revenue doesn’t stay in one pot. The county and every qualified municipality within the special district negotiate how to split the proceeds, then file a certificate of distribution with the State Revenue Commissioner specifying each government’s percentage share. One percent of total collections goes to the state to cover administrative costs; the rest gets divided according to that certificate.1Justia Law. Georgia Code 48-8-89 – Distribution and Use of Proceeds
Special Purpose Local Option Sales Tax (SPLOST)
SPLOST is a 1% tax with a built-in expiration date: typically five years, or six if the county and its qualified municipalities sign an intergovernmental agreement.2Justia Law. Georgia Code 48-8-111 – Procedure for Imposition of Tax The money can only be spent on capital outlay projects, which Georgia law defines as major, permanent improvements such as roads, bridges, police cars, fire trucks, ambulances, and public buildings.3FindLaw. Georgia Code 48-8-110 Salaries, routine maintenance, and other recurring operational costs are off-limits.
The resolution calling for a SPLOST referendum must name the specific projects, their estimated costs, and the maximum collection period. The ballot question repeats that information so there’s no ambiguity about what the tax will fund or how long it will last.2Justia Law. Georgia Code 48-8-111 – Procedure for Imposition of Tax If the county plans to issue general obligation bonds backed by SPLOST revenue, the ballot must also disclose the principal amount, purpose, issuing government, and interest rate or maximum rate. Voters approve or reject the entire package in a single up-or-down vote.
Once the collection period ends or the dollar target is reached, the tax stops. If a county wants another round, it has to run the whole process again with a fresh project list. That cycle is what keeps SPLOST from drifting: officials can’t quietly extend collections or redirect money to projects voters never saw.
Education Special Purpose Local Option Sales Tax (ESPLOST)
ESPLOST funds school capital improvements and is administered by the local board of education rather than the county commission. Authorized under O.C.G.A. § 48-8-140, it follows the same referendum model as SPLOST: voters approve a specific project list for a set number of years.4Justia Law. Georgia Code 48-8-140 – Authority and Legislative Intent Typical projects include new school buildings, renovations, technology upgrades, safety systems, and school buses. Districts also use ESPLOST to retire debt from earlier construction. Because the money is restricted to capital spending, it can’t cover teacher salaries or other operating expenses.
Municipal Option Sales Tax (MOST)
MOST gives cities a dedicated funding stream for water and sewer infrastructure. Under O.C.G.A. § 48-8-201, a municipality can seek voter approval for a 1% tax specifically to fund water capital outlay projects, sewer capital outlay projects, or both.5FindLaw. Georgia Code 48-8-201 The statute lets cities act independently when the county declines to include water and sewer work in a countywide SPLOST. Atlanta’s version has funded billions in sewer line repairs and replacements tied to federal consent decrees requiring the city to fix aging infrastructure.6City of Atlanta. Municipal Option Sales Tax (MOST)
Transportation Special Purpose Local Option Sales Tax (TSPLOST)
Georgia has four flavors of TSPLOST: a regional version covering multi-county districts, a single-county version, an Atlanta-specific version, and a Fulton County version. All fund transportation projects such as road construction, transit expansion, and bridge repairs.7Georgia Department of Revenue. TSPLOSTs The single-county version requires a resolution that names the specific transportation purposes, estimated costs, and maximum collection period, following the SPLOST structure. TSPLOST also carries its own exemptions, including jet fuel, off-road equipment fuel, and public transit fuel.
Floating Local Option Sales Tax (FLOST)
FLOST, authorized under O.C.G.A. § 48-8-109.30, is one of Georgia’s newer local tax options. Unlike LOST or SPLOST, it exists for a single purpose: reducing property taxes. Proceeds are used exclusively to lower the property tax bills issued by the county and its participating municipalities. FLOST runs for five years and, like every other local sales tax in Georgia, requires voter approval through referendum.8Floyd County Georgia. Public Notice – Resolution to Call for Special Election One Percent (1%) FLOST Referendum
It’s worth watching because it’s gaining traction. Floyd County, for example, placed a FLOST referendum on the ballot in 2025 to shift some of the property tax burden onto consumption taxes collected from residents and visitors alike. For homeowners in counties where property values have spiked, FLOST offers more direct relief than LOST, since every dollar collected goes to property tax reduction rather than general operations.
How These Taxes Get on the Ballot
No local sales tax in Georgia takes effect without a majority vote in a public referendum. The county’s governing authority passes a resolution setting out the tax type, the rate, the duration, and (for SPLOST and TSPLOST) the specific projects. That resolution goes to the county election superintendent, who places the question on the ballot at a general or special election.2Justia Law. Georgia Code 48-8-111 – Procedure for Imposition of Tax
The ballot language itself is prescribed by statute rather than drafted by the county. A SPLOST ballot must include the county name, the maximum collection period, the estimated dollar amount to be raised, and the stated purpose, plus bond details if bonds are involved. Voters see exactly what they’re approving, and the county is legally bound to spend the money as described. When a measure fails, the county can try again in a future cycle, though rebuilding support usually means revising the project list.
What’s Exempt at the Register
Georgia’s local sales taxes don’t apply to everything, and the biggest wrinkle involves groceries. Unprepared groceries purchased by individuals for home consumption are exempt from the 4% state sales tax but still subject to local sales taxes.9Legal Information Institute. Ga. Comp. R. and Regs. R. 560-12-2-.104 – Food Exemption A grocery run in a county with 4% in local levies still carries a 4% tax rather than zero. Prepared food, alcohol, tobacco, and dietary supplements don’t qualify for even the state-level exemption and face the full combined rate.
Businesses buying food don’t get the grocery exemption at all, even when they buy the same items an individual would take home tax-free. A daycare buying groceries for children’s meals, a company stocking bottled water for the break room, and an employer buying holiday turkeys for staff all owe the full state and local tax.9Legal Information Institute. Ga. Comp. R. and Regs. R. 560-12-2-.104 – Food Exemption TSPLOST layers its own exemptions on top, including jet fuel and several categories of off-road and transit fuel.7Georgia Department of Revenue. TSPLOSTs
Deducting Georgia Sales Tax on Your Federal Return
If you itemize on your federal return, you can choose between deducting state and local income taxes or state and local sales taxes, but not both. For Georgia residents, the sales tax deduction is sometimes the better option when you’ve made large purchases during the year, such as a car, a boat, or building materials for a renovation. You make the election on Schedule A of Form 1040 by checking box 5a, and you can use either your actual receipts or the IRS optional sales tax tables.10Internal Revenue Service. Topic No. 503, Deductible Taxes
For 2026, the total deduction for state and local taxes (income or sales, plus property taxes) is capped at $40,400 for most filers and $20,200 for married individuals filing separately. The cap phases down for taxpayers with modified adjusted gross income above $505,000, though the deduction cannot drop below $10,000 regardless of income.10Internal Revenue Service. Topic No. 503, Deductible Taxes In counties where the combined rate pushes past 8%, the sales tax deduction can be a meaningful offset, particularly for households that also carry substantial property tax bills. Keeping receipts from big-ticket purchases is the simplest way to find out whether the actual-expense method beats the tables.