Annual and Final Returns; Time; Return to Be Filed Upon Sale of Business; Withholding Unpaid Withholding Taxes From Purchase Prices; Penalties for Violations

  1. Law
  2. Georgia Code
  3. Revenue and Taxation
  4. Income Taxes
  5. Current Income Tax Payment
  6. Annual and Final Returns; Time; Return to Be Filed Upon Sale of Business; Withholding Unpaid Withholding Taxes From Purchase Prices; Penalties for Violations

Checkout our iOS App for a better way to browser and research.

  1. For calendar years beginning on or before December 18, 2015, on or before February 28 of each year for the preceding calendar year or on or before the thirtieth day after the date on which the final payment of wages is made by an employer who has ceased to pay wages, an employer shall file with the commissioner an annual or a final return, as the case may be, on a form prescribed by the commissioner. The employer shall attach to the return copies of the statements required to be furnished under Code Section 48-7-105 for the period covered by the return, provided that in lieu of attaching copies, the commissioner may authorize the reporting of such information by electronic or magnetic media. This subsection shall continue to apply for calendar years beginning after December 18, 2015, with respect to Form 1099s where Georgia withholding occurred and which are required to be filed for any reason other than to report nonemployee compensation.
  2. For calendar years beginning after December 18, 2015, on or before January 31 of each year for the preceding calendar year or on or before the thirtieth day after the date on which the final payment of wages is made by an employer who has ceased to pay wages, an employer shall file with the commissioner an annual or a final return, as the case may be, on a form prescribed by the commissioner. The employer shall attach to the return copies of the statements required to be furnished under Code Section 48-7-105 for the period covered by the return, provided that in lieu of attaching copies, the commissioner may authorize the reporting of such information by electronic or magnetic media. This subsection shall also apply with respect to Form 1099s where Georgia withholding occurred and which are required to be filed to report nonemployee compensation.
  3. If a statement required by subsection (a), (b), or (d) of this Code section is not filed by an employer with the department on or before the date that it is due to be filed, such an employer shall be assessed a late penalty in the amount of:
    1. Ten dollars per statement filed up to 30 calendar days after the date such statement is due, provided that the total amount imposed on a person pursuant to this paragraph shall not exceed $50,000.00;
    2. Twenty dollars per statement filed at least 31 calendar days, but not more than 210 calendar days after the date such statement is due, provided that the total amount imposed on a person pursuant to this paragraph shall not exceed $100,000.00; or
    3. Fifty dollars per statement filed 211 calendar days or more after such statement is due, provided that the total amount imposed on a person pursuant to this paragraph shall not exceed $200,000.00.
  4. If an employer liable for any withholding tax, interest, or penalty levied pursuant to this chapter sells out his or her business or stock of goods or equipment or quits the business, he or she shall file the final return as required in subsection (a) or (b) of this Code section. The employer's successor or assigns, if any, shall withhold a sufficient amount of the purchase money to cover the amount of the withholding taxes, interest, and penalties due and unpaid until the former owner provides a receipt from the commissioner showing that the taxes, interest, and penalties have been paid or a certificate from the commissioner stating that no withholding taxes, interest, or penalties are due.
  5. If the purchaser of a business or stock of goods or equipment fails to withhold the purchase money as required by this Code section, he or she shall be personally liable for the payment of the withholding tax, interest, and penalties accruing and unpaid by any former owner or assignor. The personal liability of the purchaser in such a case shall not exceed the amount of the total purchase money, but the property being transferred shall in all cases be subject to the full amount of the tax lien arising from the delinquencies of the former owner.

(Ga. L. 1960, p. 7, § 8; Code 1933, § 91A-3907, enacted by Ga. L. 1978, p. 309, § 2; Ga. L. 1980, p. 10, § 21; Ga. L. 1983, p. 1834, § 9; Ga. L. 1988, p. 1380, § 3; Ga. L. 1997, p. 734, § 7; Ga. L. 2016, p. 1, § 5/HB 742; Ga. L. 2019, p. 902, § 3/SB 183.)

The 2016 amendment, effective February 23, 2016, in subsection (a), substituted "For calendar years beginning on or before December 18, 2015, on or before" for "On or before" at the beginning, and added the last sentence; added present subsection (b) and redesignated former subsections (b) through (d) as present subsections (c) through (e), respectively; in the first sentence of subsection (d), inserted "or her", inserted "or she", and inserted "or (b)"; and, in the first sentence of subsection (e), inserted "or she".

The 2019 amendment, effective May 7, 2019, rewrote subsection (c), which read: "The commissioner may grant a reasonable extension of time, not exceeding 30 days, for filing the annual or final return required by this Code section." See Editor's notes for applicability.

Editor's notes.

- Ga. L. 1988, p. 1380, § 8, not codified by the General Assembly, provides: "This Act shall become effective upon its approval by the Governor or upon its becoming law without such approval, except that the state revenue commissioner, to the extent that he determines administratively necessary, may delay the implementation of any provision of this Act to no later than January 1, 1989."

Ga. L. 2019, p. 902, § 4/SB 183, provides, in part, that the amendment to this Code section shall be applicable to all tax years beginning on or after January 1, 2019.

Law reviews.

- For article, "Common State Tax Pitfalls in the Acquisition or Disposition of Businesses in Georgia," see 22 Ga. St. B. J. 82 (1985).

RESEARCH REFERENCES

C.J.S.

- 85 C.J.S., Taxation, § 1977.


Download our app to see the most-to-date content.