Georgia Governor Deal Signs Tax Reform into Law

Today was a remarkable day for the Peach State. This morning, Governor Nathan Deal signed into law an overhaul of the Georgia tax code, which had previously had some of the highest tax rates in the south. The final deal lowers the personal income tax rate to 5.5 percent over 2 years and doubles the standard deduction. The plan also reduces the corporate tax rate down to 5.5 percent to better compete with neighboring North Carolina and Florida.

The final version, which passed the Georgia legislature earlier this week, is a result of base broadening from federal tax reform that will boost Georgia’s revenue by $5.2 billion. Analysis from the National Taxpayers Union (NTU) forecasts that this tax overhaul will boost economic growth, put more money back in the pockets of taxpayers, and make the state more attractive to employers and investors.

“For 81 years in Georgia, taxpayers have not gotten a rate cut,” said Thomas Aiello, Policy and Government Affairs Associate at NTU, “and for businesses in the state, it has been nearly a half a century. As we recently wrote in a letter to the Georgia Senate, Georgians need pro-growth tax reform more than ever. Fortunately for Georgia taxpayers, the Governor and legislature demonstrated that they will not only just listen to taxpayers but will also follow through on their promises.”

NTU is pleased to see HB 918 signed into law and looks forward to working with Georgia lawmakers in the future to further deliver victories for Georgia's taxpayers.