--- title: HB 112. Income tax; one-time tax credit for taxpayers who filed returns for both 2023 and 2024 taxable years; provide collection: bills id: 2025-2026/hb112 cite_as: HB 112, 2025-2026 Regular Session (Ga.) canonical_url: https://georgiacommons.org/bills/2025-2026/hb112 md_url: https://georgiacommons.org/bills/2025-2026/hb112.md text_url: https://georgiacommons.org/bills/2025-2026/hb112/text source_url: https://www.legis.ga.gov/legislation/69465 date: 2025-04-15 status: passed corpus_version: bills-2026-08-28 license: Public record of the Georgia General Assembly, via LegiScan; see about.md publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice. up: https://georgiacommons.org/bills/2025-2026.md previous: https://georgiacommons.org/bills/2025-2026/hb111.md next: https://georgiacommons.org/bills/2025-2026/hb113.md index: https://georgiacommons.org/bills/index.md omitted: votes and history omitted_chars: 1148 omitted_url: https://georgiacommons.org/bills/2025-2026/hb112.md?full=1 bill_number: HB 112 session: 2025-2026 Regular Session session_slug: 2025-2026 chamber: House bill_type: bill status_date: 2025-04-15 last_action: Effective Date 2025-04-15 sponsors: - Lauren McDonald - Soo Hong - Matthew Gambill - Will Wade - Alan Powell - Shaw Blackmon - Drew Echols text_version: Enrolled has_text: true legiscan_url: https://legiscan.com/GA/bill/HB112/2025 upstream_id: 1929329 summaries_model: claude-sonnet-5 topic_tags: - income tax refund - state tax credit - Georgia Department of Revenue - tax filing --- # HB 112. Income tax; one-time tax credit for taxpayers who filed returns for both 2023 and 2024 taxable years; provide ## Text 25 LC 59 0029-EC/AP House Bill 112 (AS PASSED HOUSE AND SENATE) By: Representatives McDonald III of the 26th, Hong of the 103rd, Gambill of the 15th, Wade of the 9th, Powell of the 33rd, 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 provide for a one-time tax credit for in dividual taxpayers who filed2 income tax returns for the 2023 and 2024 taxable years; to provide for a definition; to provide3 for related matters; to provide for an effective date; to repeal conflicting laws; and for other4 purposes.5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:6 SECTION 1.7 Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to income taxes,8 is amended by adding a new Code section to read as follows:9 "48-7-20.3.10 (a) As used in this Code section, the term 'qualified taxpayer' means an individual taxpayer11 who filed an individual income tax return for both the 2023 and 2024 taxable years by the12 due date for filing the income tax return for the 2024 taxable year, including any extensions13 which have been granted. Such term shall:14 (1) Not include any:15 (A) Nonresident alien individual;16 H. B. 112 - 1 - 25 LC 59 0029-EC/AP (B) Individual who was claimed as a dependent by another taxpa yer for federal or17 Georgia income tax purposes for the 2023 taxable year; or18 (C) Estate or trust; and19 (2) Include any individual taxpayer excluded solely due to sub paragraph (B) of20 paragraph (1) of this subsection, provided that such individual had earned income for the21 2023 taxable year.22 (b)(1) Once a qualified taxpayer files an individual income ta x return for the 202423 taxable year, the department shall automatically credit such qu alified taxpayer with a24 one-time refund amount equal to the lesser of:25 (A) The qualified taxpayer's 2023 individual income tax liability as properly reported26 on Line 16 of the 2023 Georgia Form 500 or Line 4 of the 2023 Georgia Form 500EZ;27 or28 (B) An amount, which is based on such taxpayer's filing status for the 2023 taxable29 year, equal to:30 (i) In the case of a single taxpayer or a married taxpayer fil ing a separate return,31 $250.00;32 (ii) In the case of a head of household, $375.00; or33 (iii) In the case of a married couple filing a joint return, $500.00.34 (2) Notwithstanding the provisions of paragraph (1) of this subsection, in the case of any35 taxable nonresident or part-year resident whose tax was prorate d as provided by Code36 Section 48-7-85, the amount of the refund credit determined pursuant to paragraph (1) of37 this subsection shall be prorated based on the ratio of income taxable to Georgia as38 properly reported on Schedule 3, Line 9 of the Georgia Form 500 for the 2023 taxable39 year.40 (3) In no event shall the department credit pursuant to this C ode section any taxpayer41 with a refund greater than the taxpayer's individual income tax liability as properly42 H. B. 112 - 2 - 25 LC 59 0029-EC/AP reported on Line 16 of the 2023 Georgia Form 500 or Line 4 of the 2023 Georgia Form43 500EZ.44 (c) The refunds and credits provided for in this Code section shall not constitute taxable45 income for Georgia individual income tax purposes.46 (d) Any refunds due under this Code section to a taxpayer shal l be either electronically47 transmitted or sent by check to such taxpayer, based on the taxpayer's refund instructions,48 if any, as indicated on the taxpayer's income tax return for the 2024 taxable year, provided49 that such refund shall first be credited against any outstanding liability existing at the time50 the refund provided for in this Code section is to be issued.51 (e) In no event shall the amount of a refund or credit provide d for in this Code section52 accrue interest for the benefit of the taxpayer or be paid or c redited to the taxpayer with53 interest.54 (f) Any amount due to be refunded or credited to a taxpayer pursuant to this Code section55 shall be subject to the setoff debt collection provisions of Article 7 of this chapter.56 (g) The commissioner may promulgate any rules and regulations necessary to implement57 and administer this Code section."58 SECTION 2.59 This Act shall become effective upon its approval by the Governor or upon its becoming law60 without such approval.61 SECTION 3.62 All laws and parts of laws in conflict with this Act are repealed.63 H. B. 112 - 3 - ## Summaries written by Georgia Commons The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary. House Bill 112 gives Georgia taxpayers who filed income tax returns for both 2023 and 2024 a one-time state tax refund of up to $250 to $500, depending on their filing status. ### Plain-language summary Georgia currently has no mechanism for a one-time refund tied to filing both the 2023 and 2024 tax years. This bill adds a new section to Georgia's income tax law (O.C.G.A. ยง 48-7-20.3) creating that refund. Any 'qualified taxpayer,' generally someone who filed individual income tax returns for both 2023 and 2024 by the applicable deadlines, would automatically get a credit once they file their 2024 return. The refund amount is the lesser of the taxpayer's actual 2023 tax liability or a capped amount based on filing status: $250 for single filers or married people filing separately, $375 for heads of household, and $500 for married couples filing jointly. Nonresident aliens, dependents claimed by someone else (unless they had earned income), and estates or trusts do not qualify. The refund is not taxable income, does not earn interest, and can be applied first against any debts the taxpayer owes the state. The law would take effect as soon as the Governor signs it. ### What it does - Creates a one-time state income tax refund for individual taxpayers who filed returns for both the 2023 and 2024 taxable years. - Sets refund caps of $250 for single or separately-filing married taxpayers, $375 for heads of household, and $500 for joint filers, capped at their actual 2023 tax liability. - Excludes nonresident aliens, estates, trusts, and most dependents claimed by another taxpayer, unless the dependent had earned income in 2023. - Requires the Department of Revenue to apply any refund first against a taxpayer's outstanding debts before paying it out. - Specifies the refund is not taxable income and will not accrue interest for the taxpayer. - Takes effect immediately upon the Governor's signature or becoming law without signature. ### Who it affects Georgia individual income taxpayers who filed returns for both 2023 and 2024, including single filers, heads of household, and married couples. It excludes nonresident aliens, estates and trusts, and most people claimed as dependents. The Department of Revenue administers the refunds. ### Why it matters Eligible Georgia taxpayers would receive an automatic payment of up to $500 without needing to apply, once they file their 2024 return. The refund is capped by each person's actual 2023 tax bill and will be reduced first by any money they already owe the state. ### Key provisions - Section 1 adds new Code Section 48-7-20.3, defining a 'qualified taxpayer' as someone who filed both 2023 and 2024 Georgia income tax returns by the applicable deadline, including extensions. - Subsection (a) excludes nonresident aliens, estates, trusts, and dependents claimed by another taxpayer in 2023, but restores eligibility for dependents who had earned income that year. - Subsection (b) sets the refund as the lesser of the taxpayer's actual 2023 tax liability or a fixed amount: $250 single/separate, $375 head of household, $500 joint filers, with proration for nonresidents or part-year residents. - Subsection (c) states the refund does not count as taxable income for Georgia purposes. - Subsection (d) requires refunds to be sent electronically or by check based on the taxpayer's 2024 return instructions, after first offsetting any outstanding debt owed to the state. - Subsection (e) bars any interest from accruing on or being paid with the refund. - Subsection (f) makes the refund subject to Georgia's debt setoff collection rules under Article 7 of Chapter 7. - Section 2 makes the Act effective upon the Governor's signature or upon becoming law without signature. ## Status - Status: Passed (2025-04-15) - Last action: Effective Date 2025-04-15 (2025-04-15) - Sponsors: Lauren McDonald, Soo Hong, Matthew Gambill, Will Wade, Alan Powell, Shaw Blackmon, Drew Echols - Official page: https://www.legis.ga.gov/legislation/69465 > The history, votes, and amendments (1,148 characters) are at https://georgiacommons.org/bills/2025-2026/hb112.md?full=1