HB 1212: PFAS Removal and Remediation Promotion Act; enact

PFAS are man-made chemicals linked to health risks that have contaminated some land and water in Georgia. Landowners have sued companies for money to pay for cleaning up that contamination. This bill says that if a landowner gets money meant for PFAS cleanup but doesn't use it that way, the state will tax half of that money. The bill adds a new article to Georgia's tax code creating a 50 percent excise tax on 'taxable PFAS damages,' which are payments specifically meant to cover cleanup costs, not money for property value loss, loss of use, or personal injury. Landowners must notify the state within 30 days of receiving such money and file a tax return three years later. They can avoid the tax by actually spending the money on cleanup or placing it in an irrevocable trust for that purpose. The bill also requires plaintiffs to notify companies they're suing about this tax law before filing suit. It would take effect January 1, 2027.

• Creates a new 50 percent excise tax on settlement or judgment money landowners receive specifically for PFAS chemical cleanup if that money isn't spent on cleanup.
• Requires landowners to notify the state Department of Revenue within 30 days of receiving PFAS cleanup money.
• Requires landowners to file a tax return and pay any tax owed three years after receiving the money.
• Lets landowners avoid the tax by spending the money on actual cleanup or placing it in an irrevocable trust dedicated to cleanup before the return is due.
• Requires anyone suing a company over PFAS contamination to notify that company in writing about this tax law before filing the lawsuit.
• Sets the law to take effect January 1, 2027, applying only to payments landowners receive on or after that date.

Georgia landowners who sue or settle with companies over PFAS contamination of their land, the companies accused of causing that contamination (called putative PFAS tortfeasors in the bill), attorneys who file such lawsuits, and the state Department of Revenue, which would administer the new tax.

Landowners who win PFAS settlements but don't spend the money on actual cleanup would face a state tax bill years later, which could push them toward using the funds for remediation. Companies facing PFAS lawsuits would gain a new notice requirement before being sued.

• Section 1 adds Article 9 to Chapter 13 of Title 48, creating O.C.G.A. § 48-13-153, which imposes a 50 percent excise tax on taxable PFAS damages received by a landowner.
• O.C.G.A. § 48-13-152 defines 'taxable PFAS damages' as money paid specifically for PFAS abatement, removal, and remediation costs, excluding payments for lost property value, loss of use, or personal injury.
• O.C.G.A. § 48-13-154(a) requires landowners to notify the state commissioner within 30 days of receiving taxable PFAS damages.
• O.C.G.A. § 48-13-154(b) requires a tax return and payment on January 15 of the calendar year following the third anniversary of receiving the money.
• O.C.G.A. § 48-13-154(c) creates a 50 percent tax credit for money actually spent on cleanup or placed into an irrevocable cleanup trust before the return is due.
• Section 2 adds O.C.G.A. § 51-1-58, requiring plaintiffs to give written notice to companies about the excise tax and credit before suing them over PFAS contamination.
• Section 3 sets the effective date as January 1, 2027, applying only to payments made to landowners on or after that date.

1. 2026-02-09House Second Readers (House)
2. 2026-02-06House First Readers (House)
3. 2026-02-05House Hopper (House)

• Ron Stephens (R, HD-164)Primary sponsor
• Kasey Carpenter (R, HD-004)
• Matt Barton (R, HD-005)
• Charles Cannon (R, HD-172)
• John LaHood (R, HD-175)
• Tyler Smith (R, HD-018)

• PFAS contamination
• environmental cleanup
• excise tax
• land pollution lawsuits
• Georgia tax law