House Bill 409
By: Representatives Gilliard of the 162nd, Jackson of the 68th, Moore of the 91st, and Heffner
of the 130th
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to
income taxes, so as to exempt from taxation all retirement income received as retirement
benefits derived from service in the armed forces of the United States or the reserve
components thereof; to provide for related matters; to provide for an effective date and
applicability; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to income taxes,
is amended in Code Section 48-7-27, relating to computation of taxable net income, by
revising paragraph (5.1) of subsection (a) as follows:
"(5.1)(A) <ins>All</ins> <del>Up to $17,500.00 of</del> income <del>received by an individual who is less than
62 years of age paid to such</del> <ins>paid to an</ins> individual as retirement benefits from military
service in the armed forces of the United States or the reserve components thereof <del>and
an additional amount of up to $17,500.00 of such income, provided that he or she has
Georgia earned income otherwise included in his or her Georgia taxable net income in
an amount that exceeds $17,500.00.
</del>
(B) <del>In the case of a married couple filing jointly, each spouse who is otherwise
qualified for an exclusion allowed by this paragraph shall be individually entitled to
exclude retirement income received by that spouse up to the exclusion amount.
(C)</del> The <del>exclusions</del> <ins>exclusion</ins> provided for in this paragraph shall not apply to or affect
and shall be in addition to those adjustments to net income provided for under any other
paragraph of this subsection;"
SECTION 2.
This Act shall become effective upon its approval by the Governor or upon its becoming law
without such approval and shall be applicable to taxable years beginning on or after
January 1, 2026.
SECTION 3.
All laws and parts of laws in conflict with this Act are repealed.