In a recent government meeting, officials addressed the alarming rise of fraudulent use of temporary operating plates and dealer tags, particularly in Georgia and Texas. The discussion highlighted the estimated $200 million black market industry in Texas, where these fraudulent tags are not only evading tolls and fines but are also linked to violent crimes, including homicides and armed robberies.
A letter from Kevin B. Remunerian, a commissioner from New York, underscored the issue, revealing that New York has seen a significant influx of vehicles displaying Georgia temporary paper tags. These tags, often associated with criminal activity, have become a troubling trend as they are used to commit various offenses without accountability. Remunerian noted that New York authorities have seized over 15,000 vehicles linked to fraudulent tags from Texas, but the new challenge lies in the proliferation of Georgia tags.
The meeting also shed light on the abuse of dealer tags, where individuals register as used car dealers without the intention of selling vehicles. This loophole allows them to evade substantial taxes, with some high-end vehicles being driven under dealer tags to avoid paying the Title Ad Valorem Tax (TAVT). In Forsyth County alone, there are reportedly 1,500 registered used car dealers, yet only about 20 legitimate lots exist.
Officials expressed the need for stricter regulations on broker tags, as Georgia and Louisiana are among the few states that do not require brokers to maintain a minimum lot size for displaying inventory. The meeting concluded with a call for comprehensive measures to combat these issues, emphasizing the urgent need for legislative action to protect public safety and state revenue.