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Governor Deal Signs New Tax Reform Bill
Gov. Nathan Deal signed into law House Bill 386, the Georgia Jobs and Family Tax Reform Plan, which cuts taxes for all Georgians and covers multiple types of tax eliminations.
Key reforms of HB 386 include:
- Eliminates the state sales tax on energy used in manufacturing.
- Reduces the marriage penalty in our income tax code by cutting income taxes for married couples.
- Eliminates the “birthday tax” on motor vehicles.
- Reinstates sales tax holidays for back-to-school and green energy purchases.
- Revises sales tax exemptions on agriculture to ensure fairness and consistency.
- Curtails abuse in our conservation easement income tax credit program for donation of conservation easements while maintaining this credit program.
- Caps retirement income exclusion for seniors at current level of $65,000 ($130,000 per couple).
- Eliminates sales tax exemption for film productions.
- Creates a 1 percent sales tax exemption on commercial aviation fuel to make Georgia fuel rates more competitive with other major airports.
For more information about HB 386, visit the Georgia General Assembly.