Issue Position: Tax Reform

Issue Position

We proudly passed the first cut in the state tax rate in Georgia history. HB 918 reduces both the corporate income tax rate and the top personal income tax bracket rate to 5.75% in 2019. HB 918 also doubles the state income tax standard deduction from $2,300 to $4,600 for single taxpayers, from $1,500 to $3,000 for married taxpayers filing separately, and from $3,000 to $6,000 for married couples filing jointly. This is truly an across-the-board tax cut that proportionally favors those in the lower income brackets. A middle-class Georgia family of four with a household income of $50,000 will see a 16- percent tax decrease. Georgia families of four with household incomes of $75,000 will see a 12.5-percent decrease and a Georgia household of four making $150,000 would see a 10-percent income tax decrease. Though we won't truly know the effect of the tax reforms at the federal and state levels, economists have estimated that HB 918 will save Georgians more than $5 billion over the next five years. That's a lot of change; a lot of creativity and investment; and, therefore, a road toward a lot of growth. We in the Georgia General Assembly are working to ensure that Georgia continues to be the number one state for business and that we continue to migrate toward opportunity, creativity, and innovation.

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