In a decision rendered by the 4th Division of the Georgia Court of Appeals, a contractor was required to pay sales and use taxes to the State of Georgia even though the contractor received bid instructions from the County of Fulton to exclude such tax on work that was being performed at the Fulton County Jail. The contractor attempted to provide evidence that no agreement existed as to who would be paying the taxes related to the work being performed. The contractor further stated that in most states where they perform work, an exemption is provided for governmental entities and based upon that past knowledge, no research was performed to review how the State of Georgia treated governmental entities. The court indicated, citing Georgia statute OCGA Sec. 48-8-63, that regardless of the government’s status, the contractor would still be liable for the sales tax. Furthermore, the evidence of sales and use tax liability not being addressed in the contract did not relieve the contractor from its responsibilities. (Georgia Court of Appeals, GA – ESI Companies, Inc. v. Fulton County, December 30, 2004)