HB1291: HB1291 Income tax; certain costs in providing a transportation benefit to certain employees; provide credit

26 LC 56 0558 House Bill 1291 By: Representatives Gisler of the 121st, Park of the 107th, Douglas of the 78th, and Okoye of the 102nd A BILL TO BE ENTITLED AN ACT To amend Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to1 income taxes, so as to provide for an income tax credit for cer tain costs in providing a2 transportation benefit to certain employees; to provide for limitations; to provide for a public3 awareness campaign; to provide for rules and regulations; to pr ovide for definitions; to4 provide for related matters; to repeal conflicting laws; and for other purposes.5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:6 SECTION 1.7 Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to income taxes,8 is amended by adding a new Code section to read as follows:9 "48-7-29.29.10 (a) As used in this Code section, the term:11 (1) 'Covered employer' means any corporation required to pay income tax as provided12 in this chapter.13 (2) 'Qualified employee' means any employee of a covered employer who teleworks for14 less than 50 percent of such employee's workdays.15 H. B. 1291 - 1 - 26 LC 56 0558 (3) 'Qualified transportation fringe benefit' means the provis ion of a transportation16 commuter highway vehicle, a transit pass, or qualified parking provided in compliance17 with subsection (f) of 26 U.S.C. Section 132.18 (4) 'Telework' means to perform normal and regular work functions on a workday that19 ordinarily would be performed at the covered employer's principal place of business at20 a different location, thereby eliminating or substantially reducing the physical commute21 to and from the covered employer's principal place of business. Such term shall not22 include home based businesses, extensions of the workday, or wo rk performed on a23 weekend or holiday.24 (b) A covered employer shall be allowed a credit against the t ax imposed by Code25 Section 48-7-20 for costs incurred in providing qualified transportation fringe benefits to26 qualified employees. The credit shall be equal to 35 percent of the total amount spent on27 such benefits, not to exceed $1,500.00 per qualified employee per taxable year.28 (c) In no event shall the total amount of any tax credit under this Code section for a taxable29 year exceed the covered employer's income tax liability. No un used tax credit shall be30 allowed to be carried forward to apply to the covered employer' s succeeding years' tax31 liability. No such tax credit shall be allowed the covered employer against prior years' tax32 liability.33 (d) The department shall conduct a public awareness campaign a bout qualified34 transportation fringe benefits. Such campaign may include both employer and employee35 targeted outreach and advertising.36 (e) The department shall promulgate any rules and regulations necessary to implement and37 administer the provisions of this Code section."38 SECTION 2.39 All laws and parts of laws in conflict with this Act are repealed.40 H. B. 1291 - 2 -