Georgia Department of Revenue Announces New Anti-Fraud Program

The Georgia Department of Revenue has put in place new security measures to prevent tax fraud in Georgia. The Department has taken these actions due to the increase in fraudulent filings over the last several years.

The Department will run each return through a process to ensure that the information provided on the return is accurate. If a tax return is flagged by our process because of potential inconsistencies, the taxpayer will be asked to provide the Department with some additional information in order to process the return.

“This new process will help prevent tax fraud in Georgia,” said Department of Revenue Commissioner Doug MacGinnitie. “Stopping fraud is a Department priority, and we will continue to take the steps necessary to protect taxpayers and taxpayer money.”

The Department estimates that the new process will save the state millions of dollars, with little inconvenience to legitimate taxpayers.

“By using this new system, we will cut off a way for criminals to commit fraud against Georgia taxpayers, as well as save the State millions of dollars in revenue,” said Commissioner MacGinnitie.

Georgia Republicans Speak Out on Tax Day

Monday, April 18, 2011 will mark Tax Day. Members of the Georgia delegation joined together to comment on the impact Tax Day has on American families and small businesses, and how improvements can be made to our tax system. Below are their statements.

Rep. Lynn Westmoreland (GA-03): “Each year as I sit down to prepare my taxes, I am reminded of just how convoluted our tax code has become. It’s filled with confusing and sometimes contradicting language and secret loopholes, creating an unfair system where those who can afford high-priced tax professionals can skirt their obligations while everyday Americans are stuck with an ever-growing tax burden. That’s why I have been a strong supporter of the Fair Tax. The Fair Tax would replace the income tax with a sales tax, eliminating the confusing process of filing your income tax return each year. However, the answer to the confusion of our tax code is absolutely not higher taxes, like those proposed by President Obama. The answer to our current debt problem is less spending in Washington – not higher taxes on the backs of American families and small businesses. ”

Rep. Tom Price, M.D. (GA-06), Chairman of the House Republican Policy Committee: “Washington has a spending problem, not a revenue problem, and yet we are reminded every Tax Day that there are those in Washington who still believe we need to take more from the American people in order to grow government. Every dollar taken by the government is one less dollar the American people can use themselves to pursue their dreams, grow our economy, and create jobs. Rather than higher taxes, we should focus on tax reform that will lower rates and broaden the base to make America more competitive in the global economy and expand opportunities for families.”

Rep. Jack Kingston (GA-01): “Economic growth doesn’t start in Washington, it ends there. That’s why I work every day to keep the tax burden on working Georgians low and to serve as a check on the growth of government. The road to recovery starts with allowing working families and small businesses to keep more of what they make, not siphoning their hard-earned dollars to big government bureaucrats.”

Rep. Austin Scott (GA-08): “This week the President outlined a plan that raises taxes on nearly every single American taxpayer. Americans are taxed enough already. As a small business owner, I can tell you that taking more money out of the American people’s pockets is not the way to create jobs and stimulate our economy. We must continue to cut unnecessary spending and incentivize small business owners instead of taxing them at every turn.”

Rep. Tom Graves (GA-09): “To borrow the famous words of Bastiat, the arrival of Tax Day marks another year of ‘legal plunder.’ As Americans review how much of their hard earned paychecks were taken by the government, the President has made a poorly timed promise to raise taxes on families and small businesses by 2013. With our towering debt and deficits, and the many years of fiscal mismanagement, it defies common sense to give this government a raise. The big government experiment has failed, and I’ll continue to make that case over the next year as we fight to defend the family paycheck.”

Rep. Paul Broun (GA-10): “This year’s Tax Day serves as a painful reminder that Americans across the country are struggling everyday to make ends meet, and unemployment is still skyrocketing in almost every city nation-wide. Our unsustainable debt and imploding deficits continue to raise doubt and uncertainty for job creators, so the economy remains in limbo. Yet, President Obama’s only plan to kick the economy into gear involves raising taxes and expanding the overreach of the federal government. The last thing families and small businesses want to do is hand over more of their hard earned paychecks to the government. Moreover, hiking taxes will only further kill jobs and drive our small businesses deeper into the red. I will continue to fight for meaningful spending cuts, to repeal Obamacare and its job-killing mandates, and to ensure the growth of the private sector – so that next year’s Tax Day won’t be such a sting.”

Rep. Phil Gingrey, M.D. (GA-11): “Today, many Americans and small businesses will file their income taxes, entrusting their government to use those tax dollars responsibly. While most believe their tax burden is already too high, if President Obama has his way, that burden will be even higher,” said Rep. Gingrey. “A tax increase on America’s job creators would be devastating to our economy and would stifle our rate of job growth, which is already painfully slow. The President must understand — in order to prevent the burden of our nation’s fiscal crisis from being passed on to job creators and America’s workforce — the solution to our nation’s fiscal woes is not more taxation, it’s less spending.”
---
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG
Facebook: http://facebook.com/ArtsAcrossGA

Fund for local governments keeps top rating

Gov. Nathan Deal and Georgia Treasurer Tommy Hills today (March 22) announced that the nationally recognized credit rating firm of Standard and Poor’s affirmed its highest money market fund rating of AAA for Georgia’s own Georgia Fund 1.

“Georgia continues to demonstrate excellence in terms of AAA ratings,” said Deal. “The success of Georgia Fund 1 is a reflection of our state’s commitment to sound fiscal management, even during the worst of budget crunches.”

Treasurer Hills echoed his sentiment: “I am gratified that Standard and Poor's continues to assign its highest rating to Georgia Fund 1,” said Hills. “This is a clear signal to Georgians that their governmental funds are being invested in adherence with the highest standards of money management."

For the past 30 years the Office of the Georgia State Treasurer has managed and administered a local government investment pool (LGIP) called Georgia Fund 1. The LGIP is available for the short-term investment funds of Georgia’s county and city governments and school boards, co-investing with the state treasury and Georgia’s colleges and universities. Georgia Fund 1 operates like a traditional money market fund for governments providing all investors with safety, liquidity and competitive investment returns.

Georgia Fund 1 is one of the largest LGIP’s in the nation, and for the past 20 years its investment performance has outperformed the benchmark returns for all LGIP’s. More than $8 ½ billion is currently invested in Georgia Fund 1.

-----
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage & @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG @FayetteFP

Census Bureau Reports State Government Tax Collections Decrease $14 Billion in 2010

/PRNewswire/ -- State government tax collections decreased $14.3 billion to $704.6 billion in fiscal year 2010, the U.S. Census Bureau reported today. There was a $65.8 billion decrease in 2009.

These new data come from the 2010 Annual Survey of State Government Tax Collections , which contains annual statistics on the fiscal year tax collections of all 50 state governments, including receipts from licenses and compulsory fees. Tax revenues also include related penalty and interest receipts of the governments.

"The first response of researchers and analysts, when confronted with a new tax policy question, is to see what the Annual Survey of State Government Tax Collections data tell them about the question," said John Mikesell, a Chancellor's Professor at Indiana University's School of Public and Environmental Affairs. "These data make the public finance world easier to understand and to analyze."

According to the survey, corporate net income tax revenue was $38.2 billion, down 6.6 percent, while tax revenue on individual income was $236.4 billion, down 4.4 percent. General sales tax revenue was $224.5 billion, down 1.8 percent. These taxes comprised 70.8 percent of all state government tax collections nationally.

This survey provides an annual summary of taxes collected by state for up to 25 tax categories. For more information about this survey, visit http://www.census.gov/govs/statetax/.

Eleven states saw increases in total tax revenue in fiscal year 2010, led by North Dakota (9.6 percent), North Carolina (4.8 percent), Nevada (4.0 percent), and California (3.8 percent).

The states with the largest total tax revenue decreases were Wyoming (23.4 percent), Louisiana (14.2 percent), Oklahoma (13.5 percent), and Montana (11.0 percent).

States with the largest percent decrease in revenue from individual income taxes were Louisiana (22.2 percent), Tennessee (22.2 percent), North Dakota (18.0 percent) and New Hampshire (16.2 percent).

Severance taxes — collected for removal or harvesting of natural resources (e.g., oil, gas, coal, timber, fish, etc.) — were down $2.3 billion, a 17.4 percent decrease. This followed a 24.8 percent decrease in fiscal year 2009. The largest decreases in severance tax revenue were seen in the West and South. The Midwest saw an increase in severance tax revenue this year.

Revenue on taxes imposed distinctively on insurance companies and measured by gross or adjusted gross premiums (insurance premium sales tax) increased $754.0 million, up 5.0 percent. This followed a 4.6 percent decrease in fiscal year 2009. The largest increases in insurance premium sales tax revenue were seen in the Northeast and South.

These data do not include employer and employee assessments for retirement and social insurance purposes. Also excluded are collections for the unemployment compensation taxes imposed by each of the state governments. In addition, these data include tax collections for state governments only; they do not include tax collections from local governments.

Although the data are not subject to sampling error, the statistics are subject to possible inaccuracies in classification, response and processing. Every effort is made to keep such errors to a minimum through care in examining, editing and tabulating the data.

The tax revenue data pertain to state fiscal years that ended June 30, 2010, in all but four states. Amounts shown for these four states reflect the different timing of their respective fiscal years, which were the 12-month periods ending on March 31, 2010, for New York; Aug. 31, 2010, for Texas; and Sept. 30, 2010, for Alabama and Michigan.

-----
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage & @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG @FayetteFP

Habersham Bank Closed by Georgia Department of Banking and Finance

/PRNewswire/ -- Habersham Bancorp (OTC Bulletin Board: HABC) announced that the Georgia Department of Banking and Finance closed its subsidiary bank, Habersham Bank, and appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. Habersham Bancorp is no longer the parent of Habersham Bank.

In a virtually simultaneous transaction, SCBT National Association acquired the operations and all deposits and purchased essentially all assets of the Bank in a loss-share transaction facilitated by the FDIC and will continue to operate the Bank, according to an FDIC news release. Customers who have questions about the foregoing matters, or who would like more information about the closure of the Bank, can visit the FDIC's web site located at http://www.fdic.gov/bank/individual/failed/habersham.html, or call the FDIC toll-free at 1-866-806-6128.

In a prepared statement, Habersham Bancorp said: "While we ultimately were unable to save the Bank in the face of unyielding market conditions, the Board of Directors worked tirelessly over the past two years on behalf of the Company and its shareholders and attempted every reasonable solution. In particular, over the last several months, the Board and management team had been working on an offering of common stock to residents of the State of Georgia in an effort to recapitalize the Bank. Our Board and management team also pursued other transactions, including mergers with other institutions and sales of the Bank's assets. Despite our best efforts, the continuing depressed market conditions prevented us from completing these transactions."

-----
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage & @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG @FayetteFP

Free Tax Assistance from Clayton State University School of Business Accounting Students, February 19

Accounting students from Clayton State University have been busy reviewing all the tax law changes for 2010; that’s because they are participating in the Volunteer Income Tax Assistance (VITA) program hosted by the University’s School of Business, that provides free tax support for certain eligible taxpayers.

For the 2011 tax season, this service will be offered at the Clayton School of Business on the following Saturdays; Feb. 19, Feb. 26, Mar. 19 and Mar. 26, from 9 a.m. to 1 p.m. Taxpayers will be assisted on a first come, first serve basis. If taxpayers have further questions they may call the VITA hotline at (678) 466-4527.

VITA has been in existence for 37 years, and provides volunteers with extensive IRS training and testing. The volunteers can then ensure that taxpayers will have their tax returns filled out accurately and timely and receive the tax credits they qualify for, such as the Earned Income Tax Credit and the Child Tax Credit. Students can also benefit from having VITA volunteers prepare their taxes because the volunteers are trained in the recent changes to the credits available for tuition and other school-related expenses. The VITA program also prepares state income tax returns and provides free e-filing options to ensure clients receive their refunds as soon as possible.

Those interested in receiving this assistance must bring the following items:

• photo identification,
• social security cards for themselves, their spouse, and dependents,
• birthdates,
•  wage and earnings statements from all employers,
• interest and dividend statements,
• other relevant information about income and expenses including day care expenses,
• a copy of last year’s federal and state income tax returns if possible,
• bank routing and account numbers for direct deposit.

Please note that both spouses will need to be present to file electronically.

A unit of the University System of Georgia, Clayton State University is an outstanding comprehensive metropolitan university located 15 miles southeast of downtown Atlanta.

Nearly Half of Seniors Receiving Lower Social Security Checks in 2011

/PRNewswire/ -- Forty-four percent of seniors are receiving lower Social Security checks this year compared to 2010, while even more are dealing with significantly higher expenses. The findings come from an annual survey of elderly Americans, released earlier today by The Senior Citizens League (TSCL), one of the nation's largest nonpartisan senior citizens advocacy groups.

Of seniors receiving lower checks, one in four report receiving at least $50 less per month, and one in nine are receiving at least $100 less per month.

At the same time, nearly two-thirds of seniors (61 percent) estimate their expenses have increased by at least $80 per month compared to last year.

Social Security checks are lower because many seniors have their Medicare Part D or Medicare Advantage premiums automatically deducted, and these premiums have increased in many cases. An annual Cost of Living Adjustment (COLA) typically offsets such premium increases, but seniors are not receiving a COLA for the second year in a row.

"The combination of lower benefits and higher expenses means many more seniors will have a hard time making ends meet this year," said Larry Hyland, chairman of The Senior Citizens League. "More of them will have to make very difficult choices and cut back on basic things such as health care and utilities."

Almost 70 percent of beneficiaries depend on Social Security for 50 percent or more of their income. Social Security is the sole source of income for 15 percent of beneficiaries.

TSCL supports emergency COLA legislation and opposes any deficit reduction proposals that would cut the COLA.

SURVEY METHODOLOGY: The survey was conducted through print and electronic surveys from December 13, 2010, through January 31, 2011. It had 1,253 Social Security recipients. Full survey results are available on request.

-----
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage & @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG @FayetteFP