HB1212: HB1212 PFAS Removal and Remediation Promotion Act; enact

PFAS, sometimes called 'forever chemicals,' have contaminated land in parts of Georgia, and some landowners have sued or settled with companies to get money meant to pay for cleanup. This bill creates a new excise tax under Georgia's tax code (O.C.G.A. Chapter 13 of Title 48) targeting that specific kind of money, called 'taxable PFAS damages.' If a landowner does not use those funds for actual PFAS abatement, removal, or remediation, the state would tax 50 percent of the amount received. Landowners would have to notify the state Department of Revenue within 30 days of receiving such damages, then file a return and pay any tax owed three years later, on January 15. They can reduce what they owe with a credit for money actually spent on cleanup or placed in an irrevocable trust for that purpose. The bill also requires anyone suing a company over PFAS contamination to notify that company in writing about this tax and credit before filing suit. It would take effect January 1, 2027, and apply to payments received on or after that date.

• Creates a new 50 percent excise tax on 'taxable PFAS damages,' meaning lawsuit or settlement money paid to a landowner specifically for PFAS cleanup costs.
• Excludes from the tax any money awarded for other purposes, such as loss of land value, loss of use, or personal injury and emotional distress claims.
• Requires landowners to notify the Department of Revenue within 30 days of receiving such damages and to file a tax return and payment three years later.
• Allows landowners to claim a credit equal to 50 percent of money actually spent on cleanup or placed in an irrevocable cleanup trust before the return is due.
• Requires anyone suing a PFAS defendant to give that defendant written notice about the new tax and credit before filing the lawsuit.
• Sets the law to take effect January 1, 2027, applying only to payments received on or after that date.

The bill affects landowners in Georgia who receive lawsuit or settlement money for PFAS contamination cleanup, companies or other parties accused of causing PFAS contamination ('putative PFAS tortfeasors'), their attorneys, and the Georgia Department of Revenue, which would administer the new tax.

Landowners who win PFAS settlements but do not spend the money on actual cleanup would lose half of those funds to the state, creating a financial incentive to remediate contaminated land rather than keep the payout, which lawmakers say otherwise leaves contamination risks unaddressed for surrounding land and water.

• Section 1 adds a new Article 9 to Chapter 13 of Title 48, titled the 'PFAS Removal and Remediation Promotion Act,' with legislative findings on PFAS risks and the rationale for the tax (O.C.G.A. § 48-13-151).
• Defines key terms including 'PFAS,' 'PFAS contamination,' 'landowner,' 'putative PFAS tortfeasor,' and 'taxable PFAS damages,' excluding damages for lost land value, loss of use, or personal injury (O.C.G.A. § 48-13-152).
• Imposes a 50 percent excise tax on all taxable PFAS damages received by a landowner (O.C.G.A. § 48-13-153).
• Requires a notice of receipt of damages within 30 days and a tax return and payment due January 15 following the third anniversary of receiving the funds (O.C.G.A. § 48-13-154(a)-(b)).
• Provides a tax credit for 50 percent of funds actually spent on cleanup, or placed in an irrevocable trust for cleanup, before the return is due (O.C.G.A. § 48-13-154(c)).
• Adds O.C.G.A. § 51-1-58 requiring plaintiffs to notify a putative PFAS tortfeasor in writing about the excise tax and credit before filing suit.
• Section 3 sets the effective date as January 1, 2027, applying to amounts paid to landowners on or after that date.

1. 2026-02-09House Second Readers (House)
2. 2026-02-06House First Readers (House)
3. 2026-02-05House Hopper (House)

• Ron Stephens (R, HD-164)Primary sponsor
• Kasey Carpenter (R, HD-004)
• Matt Barton (R, HD-005)
• Charles Cannon (R, HD-172)
• John LaHood (R, HD-175)
• Tyler Smith (R, HD-018)

• PFAS contamination
• environmental cleanup
• excise tax
• lawsuits and settlements
• property law