HR 1418: State-wide sales and use tax; property tax relief in counties or consolidated governments; provide - CA

This resolution proposes a constitutional amendment creating a new statewide 1 percent sales and use tax. The money collected would not fund state programs directly, instead it would be distributed each year to county governments and consolidated governments based on population from the most recent U.S. Census. Each county would have to use the money first to reduce property taxes (called ad valorem taxes) on homes with a homestead exemption, then on other real property if money is left over, and only after both of those are fully offset could leftover funds go toward other local purposes the county chooses. The new tax would not count against existing legal caps on local sales taxes and would apply even to food and beverage sales that are normally exempt. If approved by the General Assembly, the amendment would go before Georgia voters for ratification or rejection.

• Proposes a constitutional amendment creating a new 1 percent statewide sales and use tax dedicated to property tax relief.
• Requires the state to collect the tax and distribute proceeds annually to counties and consolidated governments based on population from the latest census.
• Requires each county to first use the money to cut property taxes on homestead residential property before applying it to other real property or other local uses.
• Exempts this new tax from existing legal limits on how much local sales tax a jurisdiction can levy.
• Removes any food and beverage sales tax exemption specifically for this new tax, meaning it would apply to grocery and beverage sales.
• Sends the proposed amendment to Georgia voters for a statewide yes or no vote.

Georgia property owners, especially homeowners with a homestead exemption, who could see reduced property tax bills; county governments and consolidated governments, which would receive and distribute the new tax revenue; and all Georgia consumers, who would pay the new 1 percent tax on purchases, including food and beverages.

If voters approve this amendment, every purchase in Georgia would carry an added 1 percent sales tax, including groceries, while property tax bills could drop for homeowners in counties receiving enough funds. The change shifts some of the tax burden for local government funding from property owners to shoppers statewide.

• Section 1 states the General Assembly's findings that spreading local funding costs across more taxpayers could ease the property tax burden that sometimes forces people from their homes.
• Section 2 adds a new Article IX section to the Georgia Constitution establishing the 1 percent statewide sales and use tax, collected the same way as the existing state sales tax under O.C.G.A. Title 48, Chapter 8.
• Paragraph I(c) sets the order in which proceeds must be used: first residential homestead property tax relief, second other real property tax relief, third other purposes chosen by local government.
• Paragraph I(e) exempts this tax from any general law limiting the total local sales tax rate a jurisdiction may impose.
• Paragraph I(f) makes this tax apply to food and beverage sales even though those are otherwise often exempt from sales tax.
• Section 3 sends the amendment to voters with specific ballot language asking whether to approve the 1 percent statewide tax for property tax relief.

1. 2026-02-24House Second Readers (Cámara de Representantes)
2. 2026-02-20House First Readers (Cámara de Representantes)
3. 2026-02-19House Hopper (Cámara de Representantes)

• Dale Washburn (R, HD-144)Patrocinador principal
• Robert Dickey (R, HD-134)
• Kasey Carpenter (R, HD-004)
• John Corbett (R, HD-174)
• Noel Williams (R, HD-148)
• Anissa Jones (D, HD-143)

• property taxes
• sales tax
• constitutional amendment
• county government funding
• ballot referendum