In accordance with State law, the City of Savannah held a voter referendum on May 20, 2014, at which a majority of the municipal voters approved a Level I Freeport Exemption. This exemption will engender a competitive business environment for manufacturers to remain, relocate or expand their operations in the City of Savannah.

Almost all (89 percent) of Georgia’s counties and more than 140 cities have adopted some level of the Level I Freeport Exemption. The City of Savannah established the initial Level I Freeport Exemption at 20%, and now desires to increase the total Level I Freeport Exemption to 100% as of January 1, 2020, as authorized by O.C.G.A. 48-5-48.2. A 100% Level 1 Freeport Exemption would result in a tax savings totaling approximately $2.0 million annually for Savannah manufacturing businesses.  

This exemption will apply to the following types of tangible personal property:

• Inventory of goods in the process of being manufactured or produced including raw materials and partly finished goods
• Inventory of finished goods manufactured or produced in Georgia held by the manufacturer or producer for a period not to exceed 12 months
• Inventory of finished goods on January 1 that are stored in a warehouse, dock, or wharf that are destined for shipment outside of Georgia for a period not to exceed 12 months.

Approval