---
title: HB 98. Income tax; credit equal to 10 percent of the federal child tax credit; provide
collection: bills
id: 2025-2026/hb98
cite_as: HB 98, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb98
md_url: https://georgiacommons.org/bills/2025-2026/hb98.md
text_url: https://georgiacommons.org/bills/2025-2026/hb98/text
source_url: https://www.legis.ga.gov/legislation/69451
date: 2025-01-28
status: introduced
corpus_version: bills-2026-09-13
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.
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omitted: votes and history
omitted_chars: 129
omitted_url: https://georgiacommons.org/bills/2025-2026/hb98.md?full=1
bill_number: HB 98
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2025-01-17
last_action: House Second Readers
sponsors:
  - Carolyn Hugley
  - Tangie Herring
  - Jasmine Clark
  - Floyd Griffin
  - Mack Jackson
  - Mary Williams
text_version: Introduced
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB98/2025
upstream_id: 1929513
summaries_model: claude-sonnet-5
topic_tags:
  - income tax credit
  - child tax credit
  - tax refunds
  - family tax benefits
  - Georgia tax law
---

# HB 98. Income tax; credit equal to 10 percent of the federal child tax credit; provide

## Text

House Bill 98
By: Representatives Hugley of the 141st, Herring of the 145th, Clark of the 108th, Griffin of
the 149th, Jackson of the 128th, and others
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 provide for a state income tax credit equal to 10 percent of the federal
child tax credit; to provide for rules and regulations; 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 by adding a new Code section to read as follows:
<ins>"48-7-29.27.
(a) A taxpayer shall be allowed a credit against the tax imposed by Code Section 48-7-20
in an amount equal to 10 percent of the federal credit that such taxpayer is allowed under
Section 24 of the Internal Revenue Code. Such credit shall be allowed only if the
individual would have received the federal credit allowed under Section 24 of the Internal
Revenue Code after adding any carryforward of a net operating loss that was deducted
pursuant to such section in determining eligibility for the federal credit.
</ins>
<ins>(b) If the total amount of the tax credit provided for in this Code section exceeds the
taxpayer's income tax liability for a taxable year, such excess funds shall be refunded to the
taxpayer.
(c) The commissioner shall be authorized to promulgate rules and regulations necessary
to implement and administer the provisions of this Code section."
</ins> SECTION 2.
This Act shall become effective on July 1, 2025, and shall be applicable to all taxable years
beginning on or after January 1, 2025.
SECTION 3.
All laws and parts of laws in conflict with this Act are repealed.

## 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.

A Georgia House bill would create a new state income tax credit worth 10 percent of the federal child tax credit, refundable to taxpayers whose credit exceeds what they owe.

### Plain-language summary

Georgia currently has no state-level match to the federal child tax credit. This bill would add a new section to Georgia's income tax law (O.C.G.A. Chapter 7 of Title 48) creating a state credit equal to 10 percent of whatever federal child tax credit a taxpayer qualifies for under Section 24 of the federal tax code.
Taxpayers could only claim the state credit if they would have gotten the federal credit, counting back in any net operating loss carryforward used to figure federal eligibility. If the state credit is worth more than what a taxpayer owes in state income tax, the difference would be paid out as a refund rather than lost. The Georgia Department of Revenue commissioner would be allowed to write rules to administer the credit. The law would take effect July 1, 2025, and apply to tax years starting on or after January 1, 2025.

### What it does

- Creates a new Georgia income tax credit equal to 10 percent of the federal child tax credit a taxpayer receives under Section 24 of the Internal Revenue Code.
- Limits eligibility to taxpayers who would have qualified for the federal credit, including after adding back certain net operating loss carryforwards used in that federal calculation.
- Makes the credit refundable, meaning any amount exceeding a taxpayer's state income tax liability is paid back to them rather than forfeited.
- Authorizes the state revenue commissioner to create rules and regulations to implement and administer the credit.
- Sets the law to take effect July 1, 2025, applying to tax years beginning on or after January 1, 2025.

### Who it affects

Georgia taxpayers who claim the federal child tax credit, particularly parents and guardians of qualifying children. The Georgia Department of Revenue would also be affected, since its commissioner would need to write rules to administer the new credit.

### Why it matters

Families who already qualify for the federal child tax credit would get an extra state tax benefit worth 10 percent of that amount, and because it is refundable, families owing little or no state tax could still receive money back rather than losing the credit's value.

### Key provisions

- Section 1 adds new Code Section 48-7-29.27, setting the state credit at 10 percent of the taxpayer's federal child tax credit under Internal Revenue Code Section 24.
- Section 1(a) ties eligibility to whether the taxpayer would have received the federal credit, factoring back in certain net operating loss carryforwards.
- Section 1(b) makes the credit refundable, so any amount above a taxpayer's tax liability is refunded rather than capped at zero.
- Section 1(c) gives the state revenue commissioner authority to issue rules and regulations to implement the credit.
- Section 2 sets the effective date as July 1, 2025, applying to taxable years beginning on or after January 1, 2025.

## Status

- Status: Introduced (2025-01-17)
- Last action: House Second Readers (2025-01-28)
- Sponsors: Carolyn Hugley, Tangie Herring, Jasmine Clark, Floyd Griffin, Mack Jackson, Mary Williams
- Official page: https://www.legis.ga.gov/legislation/69451

> The history, votes, and amendments (129 characters) are at https://georgiacommons.org/bills/2025-2026/hb98.md?full=1