Where do we get the money from and how do we spend it? STATE REVENUE Where do we get the money from and how do we spend it?

What is revenue? Examples All money that the government brings in. Taxes Fees Sales Lottery Funds

Who can levy taxes in Georgia? STATE COUNTIES CITIES

WHAT IS A TAX? A tax is a required payment to a government by a person or business. Types of taxes Personal Income Tax - largest source of revenue for Georgia. Corporate Income Tax Sales tax Property Tax

A corporate income tax is a tax that is levied on a business. How is a corporate income tax determined? Corporate Income tax is based on the money a company makes. The more your company makes the more you get taxed. The less your company makes the less you get taxed. It is collected by the state level only

A tax levied on most retail goods and services. SALES TAX A tax levied on most retail goods and services. Usually 7-8%

Taxes placed on property PROPERTY TAX Taxes placed on property LAND HOMES CARS BOATS BUSINESS INVENTORY

STATE LOTTERY Lottery funds are the largest non-tax revenue source for Georgia. Used for special programs like scholarships and preschool programs.

HOW DO LOCAL GOVERNMENTS GET NON-TAX REVENUE FOR GEORGIA? Most local governments get non-tax revenue through fees for services such as water and sanitation.

BALANCED BUDGET A balanced budget means that the state cannot spend more money than it brings in. The state cannot borrow from other sources. This keeps the state out of debt. It also limits programs on which the state’s money is spent.

Who decides how and where state funds are spent? GOVERNOR REPRESENTATIVES FROM STATE AGENCIES STATE LEGISLATURE SPECIAL INTEREST GROUPS

HOW DO GEORGIA’S PUBLIC SCHOOL SYSTEMS USE THEIR BUDGET MONEY? Maintain school buildings Teachers pay Supplies to run the school

OTHER STATE SERVICES Maintaining roads throughout the state State parks Conservation areas

GEORGIA STATE REVENUE SOURCES (2004)

GEORGIA STATE SPENDING (2004)