Lake Lanier Islands May Gain Huge Tax Rebate

A Georgia State Representative plans to propose a law giving a sales tax rebate of $25 million or more to developers of new tourist attractions, including Lake Lanier Islands.

Gwinnett businessman Virgil Williams, who leases the resort from the state, announced plans last fall to invest at least $300 million in the 1,100-acre resort.

A Williams spokesman, Shawn Davis, said while Williams did not seek the legislation, he supports it, adding that passage of the bill likely would accelerate the timetable for new development at the resort.

"Although we plan to invest $300 million or more over 10 years, the schedule would significantly accelerate if this legislation were to pass," Davis said. "This bill would spur tourism attractions all over the state."

The rebate, according to the current version of the bill, would include both state and local sales and use taxes, which could have some impact on local option and special purpose taxes.

Hall County Commission Chairman Tom Oliver said he had not yet seen the bill and could not gauge the potential impact.

"We're delighted for him (Williams) to spend that kind of money," Oliver said. "We think this is going to be one of our premier projects for the entire county."

The law requires that any loss of tax revenue must be offset by the economic impact of the project.

A study conducted for Williams concluded that a $200 million investment at the islands would generate an additional $100 million per year in revenue, resulting in an additional $7 million in sales taxes.

Original story from Gainesville Times: http://www.gainesvilletimes.com/news/stories/20070309/localnews/160683.shtml

Bookmark

Email This