Georgia lawmakers have approved a plan to cut the state’s income tax rate, but a broader effort to overhaul property taxes fell short before the end of the legislative session.
Georgia’s net tax collections totaled $2.12 billion in February, a slight decrease of 0.1% compared to February of last year.
Even with that small monthly decline, the state remains ahead overall for the fiscal year. Through the first eight months of the budget year, Georgia has collected about $21.88 billion, an increase of 1.6% over the same period a year ago.
The biggest drop in February came from individual income tax collections, which fell 4.1%. Higher tax refunds were a major factor in that decline, even as withholding payments showed a slight increase.
At the same time, sales tax collections moved higher, providing one of the brighter spots in the report. Motor fuel tax revenues also increased from the same month last year.
Meanwhile, corporate income tax collections posted a sharp decline for the month. The state also reported smaller decreases in motor vehicle tag, title and fee collections.
Despite the mixed results in February, Georgia’s overall revenue picture remains positive for the year so far, with collections continuing to run ahead of last fiscal year’s pace.
A major income tax cut plan approved by the Georgia Senate is being praised by supporters as “relief” for taxpayers — but critics on the left say the measure could end up harming the very people it claims to help: low-income residents and the lower working class.
Georgia’s net tax collections slipped slightly in January, with the state reporting $3.03 billion in net tax revenue for the month — down $18.1 million, or 0.6%, compared to January of last year. State officials framed the dip as a modest month-to-month decline, not a major shift in overall revenue performance.
The State of Georgia says net tax collections in December totaled $3.44 billion. That’s up by about $101 million, or 3 percent, compared to December of last year.
A Georgia state Senate committee tasked with charting a path to eliminate the state income tax is set to meet Wednesday, Jan. 7, to adopt its final report — a move that could tee up major tax legislation when lawmakers return to Atlanta for the 2026 legislative session later this month.
Georgia Tax Collections Edge Up in November, But Storm-Related Fuel Tax Changes Cloud the Comparison
Georgia’s net tax collections in November totaled nearly $2.4 billion, an increase of $22.4 million (0.9%) compared to the same month in FY 2025, when the state collected about $2.38 billion. For the fiscal year to date, Georgia’s net tax revenues reached nearly $13.28 billion, up $262.7 million (2.0%) from roughly $13.02 billion collected through November 2024.