HB360: HB360 Revenue and taxation; rehabilitation of historic structures; revise tax credit

Georgia offers an income tax credit for rehabilitating certified historic structures (O.C.G.A. § 48-7-29.8). Developers apply and get preapproved by the state revenue commissioner to claim the credit in a specific future tax year. This bill adds a new provision letting taxpayers who were preapproved to claim the credit for tax year 2027 or 2028 instead claim it in tax year 2026, ahead of schedule. To qualify, the taxpayer must get a certificate of occupancy for the rehabilitated building by July 1, 2026. In exchange for claiming the credit early, the amount is reduced: taxpayers preapproved for 2027 can claim only 90 percent of the credit they would otherwise get, and those preapproved for 2028 can claim only 85 percent. The bill repeals conflicting laws and does not otherwise change the historic rehabilitation credit program.

• Adds a new subsection to Georgia's historic rehabilitation tax credit law (O.C.G.A. § 48-7-29.8) allowing early claims of preapproved credits.
• Lets taxpayers preapproved for tax year 2027 or 2028 claim their credit instead in tax year 2026 if they finish the project sooner.
• Requires the taxpayer to obtain a certificate of occupancy for the rehabilitated structure by July 1, 2026 to qualify for the early claim.
• Reduces the credit amount to 90 percent of the originally allowed amount for projects preapproved for 2027 that are claimed early.
• Reduces the credit amount to 85 percent of the originally allowed amount for projects preapproved for 2028 that are claimed early.
• Repeals any conflicting Georgia laws.

Developers, property owners, and businesses that have been preapproved by the Georgia Department of Revenue to claim tax credits for rehabilitating certified historic structures other than historic homes, particularly those whose approved tax year is 2027 or 2028.

Developers who finish rehabilitating historic buildings ahead of their preapproved schedule can get some tax benefit sooner instead of waiting years, though they receive less than the full credit. This could affect the pace and financing of historic building projects across Georgia.

• Section 1 amends O.C.G.A. § 48-7-29.8 by adding subsection (b.1), creating an exception to the normal timing rules in subsections (b) and (c).
• The exception applies only to taxpayers already preapproved for credits on certified structures other than historic homes for tax year 2027 or 2028.
• Eligible taxpayers may claim the credit in tax year 2026 instead of their originally approved year, but only if they obtain a certificate of occupancy by July 1, 2026.
• Credits claimed early under this provision are capped at 90 percent of the full amount for 2027-preapproved projects and 85 percent for 2028-preapproved projects.
• Section 2 repeals conflicting laws, a standard closing provision.

1. 2025-05-14Effective Date 2025-07-01
2. 2025-05-14Act 262
3. 2025-05-14House Date Signed by Governor (House)
4. 2025-04-09House Sent to Governor (House)
5. 2025-04-04House Agreed Senate Amend or Sub (House)
6. 2025-04-04Senate Reconsidered Passed/Adopted As Amended (Senate)
7. 2025-04-04Senate Taken from Table (Senate)
8. 2025-04-02Senate Tabled (Senate)

• Chuck Efstration (R, HD-104)Primary sponsor
• Ron Stephens (R, HD-164)
• Todd Jones (R, HD-025)
• Shaw Blackmon (R, HD-146)
• Bruce Williamson (R, HD-112)
• Scott Holcomb (D, HD-101)
• Clint Dixon (R, SD-045)

1. PassedHouse voteMarch 6, 2025

   168 yea, 3 nay (6 not voting, 3 absent)

   Passage: House Vote #211

2. PassedSenate voteMarch 28, 2025

   34 yea, 17 nay (0 not voting, 5 absent)

   Motion To Remove From The Table: Senate Vote #332

3. PassedSenate voteMarch 28, 2025

   26 yea, 24 nay (1 not voting, 5 absent)

   Passage: Senate Vote #333

4. PassedSenate voteMarch 31, 2025

   51 yea, 4 nay (1 not voting, 0 absent)

   Motion For Reconsideration: Senate Vote #337

5. PassedHouse voteApril 4, 2025

   158 yea, 5 nay (7 not voting, 10 absent)

   Agree To Senate Amendment: House Vote #443

6. PassedSenate voteApril 4, 2025

   49 yea, 6 nay (0 not voting, 1 absent)

   Passage As Amended: Senate Vote #460

• historic preservation
• tax credits
• income tax
• real estate development