(For Effective Date, See note.) Individual Tax Rate; Tax Table; Credit for Withholding and Other Payments; Applicability to Estates and Trusts

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  1. A tax is imposed upon every resident of this state with respect to the Georgia taxable net income of the taxpayer as defined in Code Section 48-7-27.A tax is imposed upon every nonresident with respect to such nonresident's Georgia taxable net income not otherwise exempted which is received by the taxpayer from services performed, property owned, proceeds of any lottery prize awarded by the Georgia Lottery Corporation, or from business carried on in this state.Except as otherwise provided in this chapter, the tax imposed by this subsection shall be levied, collected, and paid annually.
    1. (For effective date, see note.) The tax imposed pursuant to subsection (a) of this Code section shall be computed in accordance with the following tables:
    2. To facilitate the computation of the tax by those taxpayers whose federal adjusted gross income together with the adjustments set out in Code Section 48-7-27 for use in arriving at Georgia taxable net income is less than $10,000.00, the commissioner may construct tax tables which may be used by the taxpayers at their option. The tax shown to be due by the tables shall be computed on the bases of the standard deduction and the tax rates specified in paragraph (1) of this subsection. Insofar as practicable, the tables shall produce a tax approximately equivalent to the tax imposed by paragraph (1) of this subsection.
  2. The amount deducted and withheld by an employer from the wages of an employee pursuant to Article 5 of this chapter, relating to current income tax payments, shall be allowed the employee as a credit against the tax imposed by this Code section. Amounts paid by an individual as estimated tax under Article 5 of this chapter shall constitute payments on account of the tax imposed by this Code section. The amount withheld or paid during any calendar year shall be allowed as a credit or payment for the taxable year beginning in the calendar year in which the amount is withheld or paid.
  3. The tax imposed by this Code section applies to the Georgia taxable net income of estates and trusts, which shall be computed in the same manner as in the case of a single individual. The tax shall be computed on the Georgia taxable net income and shall be paid by the fiduciary.

If Georgia Taxable Net Income Is: The Tax Is:

SINGLE PERSON

Not over $750.00 1/ % Over $750.00 but not over $2,250.00 $7.50 plus 2% of amount over $750.00 Over $2,250.00 but not over $3,750.00 $37.50 plus 3% of amount over $2,250.00 Over $3,750.00 but not over $5,250.00 $82.50 plus 4% of amount over $3,750.00 Over $5,250.00 but not over $7,000.00 $142.50 plus 5% of amount over $5,250.00 Over $7,000.00 $230.00 plus 5.75% of amount over $7,000.00

MARRIED PERSON FILING A SEPARATE RETURN

Not over $500.00 1% Over $500.00 but not over $1,500.00 $5.00 plus 2% of amount over $500.00 Over $1,500.00 but not over $2,500.00 $25.00 plus 3% of amount over $1,500.00 Over $2,500.00 but not over $3,500.00 $55.00 plus 4% of amount over $2,500.00 Over $3,500.00 but not over $5,000.00 $95.00 plus 5% of amount over $3,500.00 Over $5,000.00 $170.00 plus 5.75% of amount over $5,000.00

HEAD OF HOUSEHOLD AND MARRIED PERSONS

FILING A JOINT RETURN

Not over $1,000.00 1% Over $1,000.00 but not over $3,000.00 $10.00 plus 2% of amount over $1,000.00 Over $3,000.00 but not over $5,000.00 $50.00 plus 3% of amount over $3,000.00 Over $5,000.00 but not over $7,000.00 $110.00 plus 4% of amount over $5,000.00 Over $7,000.00 but not over $10,000.00 $190.00 plus 5% of amount over $7,000.00 Over $10,000.00 $340.00 plus 5.75% of amount over $10,000.00

(Ga. L. 1931, Ex. Sess., p. 3, § 24; Code 1933, § 92-3101; Ga. L. 1937, p. 109, § 2; Ga. L. 1937-38, Ex. Sess., p. 150, § 2; Ga. L. 1955, Ex. Sess., p. 27, § 1; Ga. L. 1960, p. 1005, § 1; Ga. L. 1971, p. 605, §§ 1, 2; Ga. L. 1975, p. 857, § 1; Code 1933, § 91A-3601, enacted by Ga. L. 1978, p. 309, § 2; Ga. L. 1979, p. 5, § 62; Ga. L. 1987, p. 191, § 2; Ga. L. 1994, p. 597, § 2; Ga. L. 2018, p. 8, §§ 1-2, 1-3/HB 918.)

Editor's notes.

- Ga. L. 1987, p. 191, § 10, not codified by the General Assembly, provides that this Act is applicable to taxable years ending on or after March 11, 1987, and that a taxpayer with a taxable year ending on or after January 1, 1987, and before March 11, 1987, may elect to have the provisions of that Act apply.

Ga. L. 1987, p. 191, § 10, not codified by the General Assembly, also provided that tax, penalty, and interest liabilities and refund eligibility for prior taxable years shall not be affected by that Act.

Ga. L. 1987, p. 191, § 10, not codified by the General Assembly, also provided that provisions of the federal Tax Reform Act of 1986 and of the Internal Revenue Code of 1986 which as of January 1, 1987, were not yet effective become effective for purposes of Georgia taxation on the same dates as they become effective for federal purposes.

Ga. L. 1994, p. 597, § 4, not codified by the General Assembly, provides that this Act shall be applicable to all taxable years beginning on or after January 1, 1994.

Ga. L. 2018, p. 8, § 3-1(b)/HB 918, not codified by the General Assembly, provides, in part, that this Act "shall be applicable to all taxable years beginning on or after January 1, 2019."

Law reviews.

- For article, "Revenue and Taxation: Amend Titles 48, 2, 28, 33, 36, 46, and 50 of the Official Code of Georgia Annotated, Relating Respectively to Revenue and Taxation, Agriculture, the General Assembly, Insurance, Local Government, Public Utilities, and State Government," see 28 Georgia St. U.L. Rev. 217 (2011). For comment on Forrester v. Culpepper, 194 Ga. 744, 22 S.E.2d 595 (1942), see 6 Ga. B. J. 155 (1943).

JUDICIAL DECISIONS

Constitutionality of income tax rates.

- Georgia Laws 1929, p. 92 (see now O.C.G.A. Ch. 7, T. 48) does not violate Ga. Const. 1877, Art. VII, Sec. II, Para. I (see now Ga. Const. 1983, Art. VII, Sec. I, Para. III), which declared that all taxation shall be uniform upon the same class of subjects, and ad valorem on all property subject to be taxed within the territorial limits of the authority levying the tax, for the reason that income is distinguished from property from which income flows, with the result that income was not property within the meaning of this provision, and did not need to be levied ad valorem. Green & Milam v. State Revenue Comm'n, 188 Ga. 442, 4 S.E.2d 144 (1939).

Legislative intent as to income earned outside state before becoming resident.

- Former Code 1933, §§ 92-3002, 92-3101, 92-3112, 92-3302 (see now O.C.G.A. §§ 48-7-1,48-7-20, and48-7-30), when construed together, authorize if the statutes do not compel the interpretation that the legislature did not intend to impose a tax upon such portion of the income of a resident as was derived by the resident from sources outside the state before the date on which the individual became a resident of this state. Forrester v. Culpepper, 194 Ga. 744, 22 S.E.2d 595 (1942); commented on in, 6 Ga. B.J. 155 (1943).

Income earned by a nonresident but received after becoming a resident.

- Income earned by a cash basis taxpayer outside the state before becoming a resident is taxable under former Code 1933, Ch. 92-31 (see now O.C.G.A. Ch. 7, T. 48) if actually or constructively received after becoming a resident. Rogers v. Chilivis, 141 Ga. App. 407, 233 S.E.2d 451, cert. denied, 434 U.S. 891, 98 S. Ct. 266, 54 L. Ed. 2d 176 (1977).

Application to sentencing guidelines.

- In determining the amount of the tax loss for purposes of calculating the defendant's offense level for tax evasion under U.S. Sentencing Guidelines Manual § 2T1.1(c)(1), a court took into account the defendant's state tax liability in accordance with the six percent rate specified in O.C.G.A. § 48-7-20 for individual taxpayers. United States v. Campbell, F. Supp. (N.D. Ga. June 15, 2006), aff'd, 491 F.3d 1306 (11th Cir. 2007).

OPINIONS OF THE ATTORNEY GENERAL

Resident must pay tax on income earned outside state.

- Resident of this state is required to pay state income taxes, notwithstanding the fact that the resident's income is earned in another state. 1952-53 Op. Att'y Gen. p. 443.

Becoming legal resident or domiciliary of another state.

- To become a legal resident or domiciliary of another state one must not only reside there but must do so with the intention of giving up one's legal residence or domicile in Georgia. 1969 Op. Att'y Gen. No. 69-171.

Payments by check, tendered by municipal corporation to municipal officers and employees for unused sick leave, are, if the payments are legal, income and subject to taxation. 1971 Op. Att'y Gen. No. U71-16.

RESEARCH REFERENCES

Am. Jur. 2d.

- 71 Am. Jur. 2d, State and Local Taxation, § 356.

ALR.

- Constitutionality of provisions of income tax law as regards income of husband and wife, 78 A.L.R. 352.

Deductions in respect of leasehold in computing income tax, 82 A.L.R. 332.

Inhabitancy or residence, within provisions of income tax law as equivalent of domicile, 82 A.L.R. 982.

Income tax in respect of exchange of properties, 102 A.L.R. 6.

Income tax in respect of salaries of public officers and employees, 114 A.L.R. 1190.

When dividends on corporate stock become taxable as income to a taxpayer making his return on a cash basis, 120 A.L.R. 1280; 143 A.L.R. 596; 158 A.L.R. 1432; 167 A.L.R. 303.

Income tax in respect of salaries of public officers and employees, 120 A.L.R. 1477; 122 A.L.R. 1393; 125 A.L.R. 1421.

Computation of income tax of husband and wife as affected by the fact that they make a joint return, 121 A.L.R. 650; 131 A.L.R. 984.

Computation of income tax as affected by fact that taxpayer was domiciled within state for only part of taxable year, 126 A.L.R. 455.

Liability of settlor, in absence of express provision in income tax law, for income tax on income of revocable trust or on trust income distributable to him, 159 A.L.R. 100.

Constitutionality, construction, and application provisions of state tax law for conformity with federal income tax law or administrative and judicial interpretation, 42 A.L.R.2d 797.


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