SB446: SB446 Student Scholarship Organizations; State of Georgia to participate in the federal tax credit program for contributions of individuals to scholarship granting organizations; provide

A new federal law (Section 70411 of Pub. Law No. 119-21) lets states opt into a federal tax credit for people who donate to scholarship granting organizations, which fund private school scholarships. This bill has Georgia formally join that program. It designates the state revenue commissioner as the official who elects to participate on Georgia's behalf and requires that commissioner to notify the U.S. Secretary of the Treasury every year, including a list of Georgia scholarship organizations that qualify. The bill also reorganizes existing Georgia law on student scholarship organizations (O.C.G.A. Chapter 2A of Title 20) into a new article structure, blocks state agencies from writing rules that conflict with or go beyond federal guidance on this credit, and makes a matching update to the state's existing scholarship tax credit law (O.C.G.A. § 48-7-29.16). It also notes Governor Kemp already filed an advance notice in January 2026. The law would take effect once signed and apply to tax years starting after January 1, 2027.

• Directs the State of Georgia to formally participate in the federal tax credit program for individual donations to scholarship granting organizations under Section 70411 of Pub. Law No. 119-21.
• Designates the state revenue commissioner as the official authorized to make elections and file notices with the U.S. Secretary of the Treasury on Georgia's behalf.
• Requires the commissioner to annually submit a list of qualifying Georgia scholarship granting organizations to federal officials and publish that list on the Department of Revenue's website.
• Prohibits any Georgia state agency from adopting rules that expand, limit, or otherwise diverge from federal law and guidance on this tax credit.
• Reorganizes existing student scholarship organization law into a new 'Article 1' and adds a new 'Article 2' covering the federal tax credit participation.
• Makes a conforming update to Georgia's existing scholarship tax credit law (O.C.G.A. § 48-7-29.16) to reference the new article structure.

Scholarship granting organizations that fund private school scholarships, individual Georgia taxpayers who donate to them, the state revenue commissioner and Department of Revenue, and Georgia families using scholarships for private school tuition or programs.

If enacted, Georgians who donate to qualifying scholarship organizations could become eligible for a federal tax credit starting in 2027, potentially increasing donations that fund private school scholarships, while the state revenue commissioner takes on new administrative duties to keep Georgia compliant with federal rules.

• Section 1 states legislative intent: Georgia wants to participate in the federal tax credit scholarship program and notes Governor Kemp already filed an advance election notice in January 2026.
• Section 2 replaces the term 'chapter' with 'article' throughout several existing Code sections (20-2A-1, 20-2A-2, 20-2A-2.1, 20-2A-7) as a structural cleanup.
• Section 3 designates existing sections as 'Article 1' and adds new 'Article 2' (O.C.G.A. § 20-2A-21), which names the state revenue commissioner as the official who elects federal participation and must annually notify the U.S. Treasury with a list of qualifying organizations.
• Section 3 also bars any state department, agency, board, commission, or authority from adopting rules that are not aligned with federal law and guidance on this tax credit.
• Section 4 revises the definition of 'qualified education expense' in O.C.G.A. § 48-7-29.16 to reference the new Article 1 structure.
• Section 5 sets the effective date as upon the Governor's approval (or becoming law without approval), applying to tax years beginning on or after January 1, 2027.

1. 2026-03-31House Postponed (House)
2. 2026-03-27House Postponed (House)
3. 2026-03-25House Postponed (House)
4. 2026-03-20House Committee Favorably Reported By Substitute (House)
5. 2026-02-20House Second Readers (House)
6. 2026-02-19House First Readers (House)
7. 2026-02-18Senate Passed/Adopted (Senate)
8. 2026-02-18Senate Third Read (Senate)

• Clint Dixon (R, SD-045)Primary sponsor
• Billy Hickman (R, SD-004)
• Frank Ginn (R, SD-047)
• Steve Gooch (R, SD-051)
• Blake Tillery (R, SD-019)
• Bo Hatchett (R, SD-050)
• Randy Robertson (R, SD-029)
• Jason Anavitarte (R, SD-031)
• Bill Cowsert (R, SD-046)
• Russ Goodman (R, SD-008)
• Greg Dolezal (R, SD-027)
• Shawn Still (R, SD-048)
• Larry Walker (R, SD-020)
• John Albers (R, SD-056)
• Carden Summers (R, SD-013)
• Chuck Hufstetler (R, SD-052)
• Mike Hodges (R, SD-003)
• Jason T. Dickerson (R, SD-021)
• Ricky Williams (R, SD-025)
• Timothy Bearden (R, SD-030)
• Kay Kirkpatrick (R, SD-032)
• Scott Hilton (R, HD-048)

1. PassedSenate voteFebruary 18, 2026

   30 yea, 21 nay (1 not voting, 2 absent)

   Motion To Engross: Sb 432, Sb 446: Senate Vote #553

2. PassedSenate voteFebruary 18, 2026

   31 yea, 21 nay (0 not voting, 2 absent)

   Motion For The Previous Question: Senate Vote #555

3. PassedSenate voteFebruary 18, 2026

   31 yea, 21 nay (0 not voting, 2 absent)

   Passage: Senate Vote #556

• school choice
• tax credits
• student scholarship organizations
• private school funding
• education policy