HB1159: HB1159 Income tax; all income received by individuals, corporations, and partnerships under the Farmer Bridge Assistance Program; exempt from taxation

26 LC 59 0350-ECS/AP House Bill 1159 (AS PASSED HOUSE AND SENATE) By: Representatives Gambill of the 15th, Seabaugh of the 34th, Wade of the 9th, Blackmon of the 146th, Williamson of the 112th, and others A BILL TO BE ENTITLED AN ACT To amend Article 2 of Chapter 7 of Title 48 of the Official Cod e of Georgia Annotated,1 relating to the imposition, rate, computation, exemptions, and credits relative to income2 taxes, so as to exempt from taxation all income received by ind ividuals, corporations, and3 partnerships under the Farmer Bridge Assistance and Specialty Crop Farmers programs of4 the United States Department of Agriculture; to provide for related matters; to provide for5 an effective date; to repeal conflicting laws; and for other purposes.6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 SECTION 1.8 Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to the9 imposition, rate, computation, exemptions, and credits relative to income taxes, is amended10 in subsection (b) of Code Section 48-7-21, relating to taxation of corporations, by adding11 new divisions to subparagraph (C) of paragraph (7) and by adding new paragraphs to read12 as follows:13 "(viii) For taxable years beginning on or after January 1, 2025 , there shall be14 subtracted from the taxable income of an electing Subchapter 'S ' corporation any15 income received as payments under the Farmer Bridge Assistance Program of the16 H. B. 1159 - 1 - 26 LC 59 0350-ECS/AP United States Department of Agriculture for which payments 2025 acres were17 reported to the United States Department of Agriculture on or b efore18 December 19, 2025, to the extent that such income is included i n federal adjusted19 gross income or federal taxable income.20 (ix) For taxable years beginning on or after January 1, 2025, there shall be subtracted21 from the taxable income of an electing Subchapter 'S' corporati on any income22 received as payments under the Assistance for Specialty Crop Farmers Program of the23 United States Department of Agriculture for which payments 2025 acres were24 reported to the United States Department of Agriculture's Farm Service Agency on25 or before March 13, 2026, to the extent that such income is inc luded in federal26 adjusted gross income or federal taxable income."27 "(19) For taxable years beginning on or after January 1, 2025, there shall be subtracted28 from taxable income any income received as payments under the F armer Bridge29 Assistance Program of the United States Department of Agriculture for which payments30 2025 acres were reported to the United States Department of Agr iculture on or before31 December 19, 2025, to the extent that such income is included in federal adjusted gross32 income or federal taxable income.33 (20) For taxable years beginning on or after January 1, 2025, there shall be subtracted34 from taxable income any income received as payments under the Assistance for Specialty35 Crop Farmers Program of the United States Department of Agricul ture for which36 payments 2025 acres were reported to the United States Departme nt of Agriculture's37 Farm Service Agency on or before March 13, 2026, to the extent that such income is38 included in federal adjusted gross income or federal taxable income."39 H. B. 1159 - 2 - 26 LC 59 0350-ECS/AP SECTION 2.40 Said article is further amended in Code Section 48-7-23, relating to taxation of partnerships,41 by adding new paragraphs to subsection (b) and by adding new su bsections to read as42 follows:43 "(7) Notwithstanding paragraph (6) of this subsection, for taxable years beginning on or44 after January 1, 2025, there shall be subtracted from the taxab le income of an electing45 partnership any income received as payments under the Farmer Br idge Assistance46 Program of the United States Department of Agriculture for which payments 2025 acres47 were reported to the United States Department of Agriculture on or before December 19,48 2025, to the extent that such income is included in federal adj usted gross income or49 federal taxable income.50 (8) Notwithstanding paragraph (6) of this subsection, for taxable years beginning on or51 after January 1, 2025, there shall be subtracted from the taxab le income of an electing52 partnership any income received as payments under the Assistanc e for Specialty Crop53 Farmers Program of the United States Department of Agriculture for which payments54 2025 acres were reported to the United States Department of Agriculture's Farm Service55 Agency on or before March 13, 2026, to the extent that such income is included in federal56 adjusted gross income or federal taxable income.57 (c) Notwithstanding paragraph (6) of subsection (b) of this Code section, for taxable years58 beginning on or after January 1, 2025, there shall be subtracted from taxable income any59 income received as payments under the Farmer Bridge Assistance Program of the United60 States Department of Agriculture for which payments 2025 acres were reported to the61 United States Department of Agriculture on or before December 19, 2025, to the extent that62 such income is included in federal adjusted gross income or federal taxable income.63 (d) Notwithstanding paragraph (6) of subsection (b) of this Code section, for taxable years64 beginning on or after January 1, 2025, there shall be subtracted from taxable income any65 income received as payments under the Assistance for Specialty Crop Farmers Program of66 H. B. 1159 - 3 - 26 LC 59 0350-ECS/AP the United States Department of Agriculture for which payments 2025 acres were reported67 to the United States Department of Agriculture's Farm Service Agency on or before March68 13, 2026, to the extent that such income is included in federal adjusted gross income or69 federal taxable income."70 SECTION 3.71 Said article is further amended in subsection (a) of Code Secti on 48-7-27, relating to72 computation of taxable net income, by adding new paragraphs to read as follows:73 "(11.5) For taxable years beginning on or after January 1, 2025, any income received as74 payments under the Farmer Bridge Assistance Program of the United States Department75 of Agriculture for which payments 2025 acres were reported to t he United States76 Department of Agriculture on or before December 19, 2025, to th e extent that such77 income is included in federal adjusted gross income or federal taxable income;78 (11.6) For taxable years beginning on or after January 1, 2025, any income received as79 payments under the Assistance for Specialty Crop Farmers Program of the United States80 Department of Agriculture for which payments 2025 acres were reported to the United81 States Department of Agriculture's Farm Service Agency on or before March 13, 2026,82 to the extent that such income is included in federal adjusted gross income or federal83 taxable income."84 SECTION 4.85 This Act shall become effective upon its approval by the Governor or upon its becoming law86 without such approval.87 SECTION 5.88 All laws and parts of laws in conflict with this Act are repealed.89 H. 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