--- title: SB 59. Bona Fide Conservation Use Property; a limitation on leased property; remove collection: bills id: 2025-2026/sb59 cite_as: SB 59, 2025-2026 Regular Session (Ga.) canonical_url: https://georgiacommons.org/bills/2025-2026/sb59 md_url: https://georgiacommons.org/bills/2025-2026/sb59.md text_url: https://georgiacommons.org/bills/2025-2026/sb59/text source_url: https://www.legis.ga.gov/legislation/69640 date: 2026-05-12 status: vetoed 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. up: https://georgiacommons.org/bills/2025-2026.md previous: https://georgiacommons.org/bills/2025-2026/sb58.md next: https://georgiacommons.org/bills/2025-2026/sb60.md index: https://georgiacommons.org/bills/index.md omitted: votes and history omitted_chars: 1487 omitted_url: https://georgiacommons.org/bills/2025-2026/sb59.md?full=1 bill_number: SB 59 session: 2025-2026 Regular Session session_slug: 2025-2026 chamber: Senate bill_type: bill status_date: 2026-05-12 last_action: Veto V9 sponsors: - Sam Watson - Billy Hickman - Russ Goodman - Lee Anderson - Carden Summers - Drew Echols - Angie O'Steen text_version: Enrolled has_text: true legiscan_url: https://legiscan.com/GA/bill/SB59/2025 upstream_id: 1947461 summaries_model: claude-sonnet-5 topic_tags: - timber tax credits - Hurricane Helene relief - agriculture tax policy - Georgia Department of Revenue --- # SB 59. Bona Fide Conservation Use Property; a limitation on leased property; remove ## Text Senate Bill 59 By: Senators Watson of the 11th, Hickman of the 4th, Goodman of the 8th, Anderson of the 24th, Summers of the 13th and others AS PASSED A BILL TO BE ENTITLED AN ACT To amend Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to imposition, rate, computation, exemptions, and credits, so as to revise the aggregate cap and application process for tax credits for timber producers incurring losses from Hurricane Helene; 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. Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to imposition, rate, computation, exemptions, and credits, is amended in Code Section 48-7-40.37, relating to tax credits for timber producers incurring losses from Hurricane Helene, by revising subsections (c) through (f) as follows: "(c)(1) A taxpayer shall be allowed tax credits against the tax imposed by this article in an amount equal to 100 percent of such taxpayer's timber casualty loss; provided, however, that the credit amount shall not exceed the number of the taxpayer's affected acres of eligible timber property in such disaster areas multiplied by $550.00. (2) To be allowed such tax credits, a taxpayer shall submit an application for preapproval of such credits based on timber casualty losses incurred by such taxpayer by December 31, 2025; provided, however, that preapproval shall not be required for applications received on or after January 1, 2026. (d)(1) The commissioner shall require preapproval applications to contain such information as is necessary to substantiate a taxpayer's eligibility for tax credits allowed pursuant to this Code section. (2) The commissioner is authorized to require electronic submission of preapproval applications in the manner specified by the commissioner. (3) The commissioner shall review completed preapproval applications in the order in which such applications were submitted and shall provide notice to each taxpayer that submitted an application within 30 days of receipt stating whether such taxpayer's application is complete or incomplete. (4) In no event shall the commissioner preapprove tax credits pursuant to this Code section in an amount that exceeds $200 $250 million in aggregate. (5) In the event that properly completed and timely submitted preapproval applications are submitted for an amount that exceeds the amount of funds available to fully fund the tax credits requested, the commissioner shall prorate the available funds between or among the applicants. (6) The commissioner shall approve properly completed and timely submitted preapproval applications and issue a preapproval certificate to the taxpayer by January 31, 2026, certifying the amount of credits such taxpayer is eligible to claim if the taxpayer meets the conditions of this Code section. (e) In no event shall the amount of the tax credits allowed pursuant to this Code section exceed $200 $250 million in aggregate. (f)(1)(A)(i) Except as otherwise provided in division (ii) of this subparagraph, tax Tax credits allowed pursuant to this Code section shall be eligible to be claimed only by the taxpayer to which the commissioner issued a preapproval certificate. (ii) On and after January 1, 2026, tax credits allowed pursuant to this Code section shall be eligible to be claimed by taxpayers without the issuance of a preapproval certificate up to the maximum aggregate provided for in subsection (e) of this Code section in order of receipt of applications by the commissioner, and the commissioner shall: (I) Begin accepting such applications no later than July 1, 2026; and (II) Within 45 days of submission of an application by each taxpayer, provide notice to such taxpayer of acceptance or rejection of such application. (B) Tax credits allowed pursuant to this Code section shall only be claimed in the taxable year in which the taxpayer first completes: (i) The restoration of each acre for which timber casualty losses were incurred to a condition that has an adequately stocked stand that is expected to result in forest products or ecological services in the foreseeable future; or (ii) The replanting of timber in a quantity projected to yield at maturity at least 90 percent of the value of the timber casualty loss claimed. Such timber shall be planted within the same county in which the eligible timber property was being grown when the timber casualty loss was incurred. Timber market conditions as of September 25, 2024, shall be used for the purposes of establishing projected value. (2) To claim tax credits allowed pursuant to this Code section, a taxpayer shall attach to such taxpayer's state tax return certification from the taxpayer that the requirements of this Code section have been met and any other information required by the commissioner, including information which demonstrates that it has completed the restoration or replanting of timber required pursuant to paragraph (1) of this subsection. (3) Any tax credits allowed pursuant to this Code section shall be claimed on or before December 31, 2030." 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 all taxable years beginning on or after January 1, 2026. 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 Senate bill would raise the cap on tax credits for timber growers who lost trees in Hurricane Helene from $200 million to $250 million and let more producers claim the credit without needing advance state approval starting in 2026. ### Plain-language summary Georgia created a tax credit program to help timber producers who lost trees in Hurricane Helene, but the program capped total credits at $200 million and required growers to apply for preapproval from the state revenue commissioner before claiming the credit. This bill raises that aggregate cap to $250 million and changes how the credit is awarded going forward. Under the bill, preapproval is still required for applications submitted through the end of 2025, but starting January 1, 2026, taxpayers can claim the credit without getting preapproved first, as long as the state has not already given out the full $250 million. The commissioner must start taking these later applications by July 1, 2026 and respond within 45 days. Growers still must finish replanting or restoring their timberland before claiming the credit, and all credits must be claimed by December 31, 2030. The changes apply to tax years starting on or after January 1, 2026 and take effect once the Governor signs the bill or it becomes law without a signature. ### What it does - Raises the total statewide cap on Hurricane Helene timber casualty loss tax credits from $200 million to $250 million. - Removes the preapproval requirement for tax credit applications submitted on or after January 1, 2026, letting growers claim credits directly up to the new cap. - Requires the commissioner to begin accepting these post-2025 applications by July 1, 2026 and to notify each applicant within 45 days. - Keeps the requirement that timber must be restored or replanted to specific standards before a taxpayer can actually claim the credit. - Sets a final deadline of December 31, 2030 for claiming any of these credits. ### Who it affects Timber producers and landowners in Georgia whose eligible timberland was damaged by Hurricane Helene, especially those applying for state tax credits after 2025; also the Georgia Department of Revenue, which administers the preapproval and application process. ### Why it matters More timber growers could receive state tax relief for storm losses, and the higher $250 million cap means fewer applicants are likely to be prorated down due to limited funds. Growers applying after 2025 also skip the extra preapproval step, potentially speeding up when they can claim the credit. ### Key provisions - Section 1 amends O.C.G.A. ยง 48-7-40.37(d)(4) and (e) to raise the aggregate credit cap from $200 million to $250 million. - Section 1 revises subsection (c)(2) so preapproval is required only for applications submitted by December 31, 2025. - New subsection (f)(1)(A)(ii) allows taxpayers to claim credits without a preapproval certificate starting January 1, 2026, in the order applications are received, up to the $250 million cap. - The commissioner must begin accepting these applications no later than July 1, 2026 and respond to each taxpayer within 45 days of submission. - Taxpayers must still complete restoration or replanting of damaged timberland, as described in subsection (f)(1)(B), before claiming the credit. - All credits under this program must be claimed on or before December 31, 2030. - Section 2 makes the Act effective upon the Governor's approval and applicable to taxable years beginning on or after January 1, 2026. ## Status - Status: Vetoed (2026-05-12) - Last action: Veto V9 (2026-05-12) - Sponsors: Sam Watson, Billy Hickman, Russ Goodman, Lee Anderson, Carden Summers, Drew Echols, Angie O'Steen - Official page: https://www.legis.ga.gov/legislation/69640 > The history, votes, and amendments (1,487 characters) are at https://georgiacommons.org/bills/2025-2026/sb59.md?full=1