---
title: HB 99. Income tax; credit based upon the federal qualified child and dependent care tax credit; revise
collection: bills
id: 2025-2026/hb99
cite_as: HB 99, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb99
md_url: https://georgiacommons.org/bills/2025-2026/hb99.md
text_url: https://georgiacommons.org/bills/2025-2026/hb99/text
source_url: https://www.legis.ga.gov/legislation/69452
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/hb99.md?full=1
bill_number: HB 99
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
- Karen Bennett
- Debbie Buckner
- Tangie Herring
- Jasmine Clark
- Mary Williams
text_version: Introduced
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB99/2025
upstream_id: 1929187
summaries_model: claude-sonnet-5
topic_tags:
- income tax credits
- child care costs
- dependent care
- tax refunds
- family tax benefits
---
# HB 99. Income tax; credit based upon the federal qualified child and dependent care tax credit; revise
## Text
House Bill 99
By: Representatives Hugley of the 141st, Bennett of the 94th, Buckner of the 137th, Herring
of the 145th, Clark of the 108th, 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 revise a state income tax credit based upon the federal qualified child
and dependent care tax credit; 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 revising Code Section 48-7-29.10, relating to tax credits for qualified child
and dependent care tax credits, as follows:
"48-7-29.10.
(a) A taxpayer shall be allowed a credit against the tax imposed by Code Section 48-7-20
for qualified child and dependent care expenses. Such credit shall be determined by
applying a percentage to the amount of the credit provided for in Section 21 of the Internal
Revenue Code which is claimed and allowed pursuant to the Internal Revenue Code. Such
percentage shall be:
(1) Ten percent for all taxable years beginning on or after January 1, 2006, and prior to
January 1, 2007;
(2) Twenty percent for all taxable years beginning on or after January 1, 2007, and prior
to January 1, 2008; and
(3) Thirty percent for all taxable years beginning on or after January 1, 2008, and prior
to January 1, 2025; and
(4) One-hundred percent for all taxable years beginning on or after January 1, 2025.
(b) In no event shall the total amount of the tax credit under this Code section for a taxable
year exceed the taxpayer's income tax liability. Any unused tax credit shall not be allowed
to be carried forward to apply to the taxpayer's succeeding years' tax liability. No such tax
credit shall be allowed the taxpayer against prior years' tax liability.
(b.1) Notwithstanding the provisions of subsection (b) of this Code section, for taxable
years beginning on or after January 1, 2025, 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 any rules and regulations
necessary to implement and administer this Code section."
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.
House Bill 99 would raise Georgia's state income tax credit for child and dependent care expenses to 100 percent of the federal credit and let taxpayers get any excess back as a refund, starting with the 2025 tax year.
### Plain-language summary
Georgia currently lets taxpayers claim a state income tax credit worth 30 percent of the federal child and dependent care tax credit (allowed under Section 21 of the Internal Revenue Code), and any unused credit is lost rather than refunded or carried forward. House Bill 99 rewrites this part of Georgia's tax code (O.C.G.A. § 48-7-29.10) to raise that percentage to 100 percent of the federal credit for tax years beginning on or after January 1, 2025.
The bill also adds a new rule: if the state credit ends up larger than what a taxpayer owes in state income tax, the state would refund the difference rather than simply letting it go unused. The change would take effect July 1, 2025, and would apply to tax years starting on or after January 1, 2025.
### What it does
- Increases the state child and dependent care tax credit from 30 percent to 100 percent of the federal credit allowed under Section 21 of the Internal Revenue Code, starting in tax year 2025.
- Adds a new provision making the credit refundable for 2025 and later, so taxpayers get back any amount of the credit that exceeds their state income tax bill.
- Keeps in place the existing rule that the credit still cannot be carried forward to future tax years or applied to past years' tax liability.
- Sets the law's effective date as July 1, 2025, applying retroactively to tax years beginning on or after January 1, 2025.
### Who it affects
Georgia taxpayers who pay for child care or dependent care and claim the federal child and dependent care tax credit on their federal returns, including working parents and caregivers of dependents. The Georgia Department of Revenue would also be affected, since it administers the credit and would need to process refunds.
### Why it matters
Families who qualify for the federal child and dependent care credit would see a much larger state tax benefit, jumping from 30 percent to 100 percent of the federal amount. Because the credit becomes refundable, families with little or no state tax liability could receive cash back rather than losing the unused portion.
### Key provisions
- Section 1 amends O.C.G.A. § 48-7-29.10 to change the credit percentage from 30 percent to 100 percent of the federal qualified child and dependent care credit for taxable years beginning on or after January 1, 2025.
- Section 1 adds new subsection (b.1), making the credit refundable starting in tax year 2025 when the credit amount exceeds the taxpayer's income tax liability.
- Section 1 keeps existing subsection (b), which still bars carrying forward unused credit to future years or applying it to prior years' tax liability.
- Section 2 sets the effective date as July 1, 2025, and applies the changes to all taxable years beginning on or after January 1, 2025.
- Section 3 repeals any conflicting laws.
## Status
- Status: Introduced (2025-01-17)
- Last action: House Second Readers (2025-01-28)
- Sponsors: Carolyn Hugley, Karen Bennett, Debbie Buckner, Tangie Herring, Jasmine Clark, Mary Williams
- Official page: https://www.legis.ga.gov/legislation/69452
> The history, votes, and amendments (129 characters) are at https://georgiacommons.org/bills/2025-2026/hb99.md?full=1