On Feb. 8, 2024, the Georgia House of Representatives unanimously approved a $1 billion tax relief package that would bring significant tax relief to Georgia taxpayers.
The package consisted of three tax relief proposals:
- HB 1015 would accelerate a Georgia state income tax cut from 5.75 percent to 5.39 percent, retroactive to Jan. 1, 2024. Technically, the rate dropped to 5.49 percent effective Jan. 1 already so this bill would further reduce it by .1 percent.
- HB 1019 would double Georgia’s homestead tax exemption from $2,000 to $4,000, contingent on a two-thirds vote of support in the Senate as well as voter approval from a referendum vote on Nov. 5, 2024.
- HB 1021 would raise the child tax credit from $3,000 to $4,000.
House Speaker Jon Burns (R) has stated that the tax relief package could return more than $1 billion to taxpayers in the state of Georgia in a time when there is considerable surplus held by the state. The Georgia Budget & Policy Institute recently reported that it held $16 billion in reserves at the end of the 2023 fiscal year.
The three bills will head next to the Senate for approval, then to the desk of Governor Brian Kemp.
Windham Brannon’s State and Local Tax Practice continues to watch and monitor the progress of these bills in the Georgia State Senate and the Governor’s desk. Our professionals are also ready to answer questions about how tax relief could specifically impact your unique tax situation. For questions or more information about Georgia’s pending tax legislation, contact your Winham Brannon advisor today, or reach out to Tim Clancy.
