HB1279: HB1279 Sales and use tax; use of noncommercial written materials or mailings by certain tax exempt organizations; extend sunset date

Georgia law currently gives certain tax exempt organizations a sales and use tax exemption for noncommercial written materials or mailings, but that exemption is set to expire on July 1, 2026 under O.C.G.A. § 48-8-3. House Bill 1279 changes the expiration date in that law to July 1, 2031, keeping the exemption available for five more years. The bill does not change how the exemption works. Qualifying organizations still have to pay sales and use tax up front on their purchases, then file a claim for a refund of the tax paid on qualifying items. Any refunds issued under this provision still will not include interest. The law would take effect as soon as the Governor signs it or it otherwise becomes law without his signature.

• Extends the expiration (sunset) date of a sales and use tax exemption for certain tax exempt organizations from July 1, 2026 to July 1, 2031.
• Keeps in place the existing requirement that qualifying organizations pay sales and use tax upfront and then file a refund claim to get the exemption's benefit.
• Keeps in place the rule that any refunds issued under this exemption do not include interest.
• Repeals any conflicting Georgia laws and sets the effective date as the date the Governor signs the bill or it otherwise becomes law.

Certain tax exempt organizations in Georgia that produce or send noncommercial written materials or mailings, and that rely on this sales and use tax refund; the Georgia Department of Revenue, which processes the refund claims under this provision.

Without this extension, the tax exemption for these organizations' noncommercial mailings would expire on July 1, 2026. By pushing the sunset date to 2031, the bill lets qualifying organizations keep claiming sales tax refunds on those materials for five more years.

• Section 1 amends O.C.G.A. § 48-8-3, paragraph (101), subparagraph (B), changing the exemption's end date from July 1, 2026 to July 1, 2031.
• Section 1 retains the requirement that a qualifying organization pay sales and use tax on purchases and then file a claim for refund to get the exemption's benefit.
• Section 1 retains the rule that refunds issued under this paragraph shall not include interest.
• Section 2 makes the Act effective upon the Governor's approval or upon its becoming law without that approval.
• Section 3 repeals any conflicting laws.

1. 2026-02-17House Second Readers (House)
2. 2026-02-12House First Readers (House)
3. 2026-02-11House Hopper (House)

• John Carson (R, HD-046)Primary sponsor
• Bill Yearta (R, HD-152)
• Danny Mathis (R, HD-133)
• Mike Cameron (R, HD-001)
• Matthew Gambill (R, HD-015)
• Brad Thomas (R, HD-021)

• sales tax exemption
• nonprofit organizations
• tax refunds
• state tax law