Canton City Council Passes Car Rental Tax

After several failed attempts, the Canton City Council in Georgia has finally approved Mayor Gene Hobgood’s proposed 3% excise tax on car rentals, according to a report by the Cherokee Tribune.

The tax passed by a 5-1 vote, with Councilman Hooky Huffman as the only opposing vote, says the report. In February, the council voted against the proposed tax for the second time.

Hobgood hopes the revenue will promote economic development in the city, including public safety and a new fire station, says the report.

But Huffman opposes the tax because Canton only has one car rental location, so it would target only the Enterprise Rent-A-Car location. “It is going to be a tax, not a fee,” Huffman told the council. “It is a real tax of approximately $160,000 on the citizens of Canton.”

The rental car tax will go into effect Oct. 1, at the beginning of fiscal year 2015.

Click here for the full Cherokee Tribune article:

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