HB99: HB99 Income tax; credit based upon the federal qualified child and dependent care tax credit; revise

25 LC 59 0048 House Bill 99 By: Representatives Hugley of the 141st, Bennett of the 94th, Buckner of the 137th, Herring of the 145th, Clark of the 108th, and others A BILL TO BE ENTITLED AN ACT To amend Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to1 income taxes, so as to revise a state income tax credit based upon the federal qualified child2 and dependent care tax credit; to provide for related matters; to provide for an effective date3 and applicability; to repeal conflicting laws; and for other purposes.4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:5 SECTION 1.6 Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to income taxes,7 is amended by revising Code Section 48-7-29.10, relating to tax credits for qualified child8 and dependent care tax credits, as follows:9 "48-7-29.10.10 (a) A taxpayer shall be allowed a credit against the tax imposed by Code Section 48-7-2011 for qualified child and dependent care expenses. Such credit s hall be determined by12 applying a percentage to the amount of the credit provided for in Section 21 of the Internal13 Revenue Code which is claimed and allowed pursuant to the Internal Revenue Code. Such14 percentage shall be:15 H. B. 99 - 1 - 25 LC 59 0048 (1) Ten percent for all taxable years beginning on or after January 1, 2006, and prior to16 January 1, 2007;17 (2) Twenty percent for all taxable years beginning on or after January 1, 2007, and prior18 to January 1, 2008; and19 (3) Thirty percent for all taxable years beginning on or after January 1, 2008, and prior20 to January 1, 2025; and21 (4) One-hundred percent for all taxable years beginning on or after January 1, 2025.22 (b) In no event shall the total amount of the tax credit under this Code section for a taxable23 year exceed the taxpayer's income tax liability. Any unused tax credit shall not be allowed24 to be carried forward to apply to the taxpayer's succeeding years' tax liability. No such tax25 credit shall be allowed the taxpayer against prior years' tax liability.26 (b.1) Notwithstanding the provisions of subsection (b) of this Code section, for taxable27 years beginning on or after January 1, 2025, if the total amount of the tax credit provided28 for in this Code section exceeds the taxpayer's income tax liability for a taxable year, such29 excess funds shall be refunded to the taxpayer.30 (c) The commissioner shall be authorized to promulgate any rul es and regulations31 necessary to implement and administer this Code section."32 SECTION 2.33 This Act shall become effective on July 1, 2025, and shall be applicable to all taxable years34 beginning on or after January 1, 2025.35 SECTION 3.36 All laws and parts of laws in conflict with this Act are repealed.37 H. B. 99 - 2 -