ATLANTA, Ga. (Atlanta News First) — Gov. Brian Kemp signed nine bills into law Monday aimed at boosting the state’s economy and reducing the tax burden on Georgians.

Tax rate reduction

HB 463 lowers Georgia’s state income tax rate from 5.19 percent to 4.99 percent. It includes provisions for further annual reductions of the state income tax rate as well as increases of the standard deduction. It raises the retirement income exclusion to $70,000 beginning in 2027 and introduces temporary tax exclusions for qualified overtime compensation and cash tips through 2028. It also repeals some tax credits and sales and use tax exemptions.

Property tax relief

SB 33 enacts property tax reform by establishing a new Local Homestead Option Sales Tax aimed at providing homeowner tax relief.

Education and healthcare

HB 328 increases the tax credit for student scholarship organizations, expands student eligibility and increases accountability measures for program providers.

SB 111 expands the eligibility criteria for rural hospital organizations to include rural freestanding emergency departments and lowers indigent care thresholds, broadening access to tax-credit-eligible contributions for rural healthcare providers in Georgia.

Business legislation

HB 1129 creates guardrails for state-designated enterprise zones. The bill was a legislative priority of Kemp.

HB 1185 modernizes complex corporate litigation policies and revises some standards around the Georgia Statewide Business Court.

HB 445 expands the right of business owners in Georgia to appeal tax reassessments of certain high-value tangible personal property to a hearing officer and establishes new qualifications and procedures for officers handling appeals.

HB 987 codifies a voluntary framework for independent contractors to receive portable benefits through dedicated accounts, allowing contributions without affecting their employment classification.

HB 1209 establishes a limited sales and use tax exemption for construction materials used in specific developments near certain state-owned convention facilities.

“We’ve remained the No. 1 state for business for a historic 12 consecutive years because of our commitment to growing opportunity and budgeting conservatively,” Kemp said. “That approach has allowed us to return billions of dollars to taxpayers, and the legislation I signed today will keep that momentum going as we further lower our state income tax rate, deliver on meaningful property tax relief, and ensure job creators have the opportunity to grow and thrive in the Peach State.”

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