Overview
- The Senate approved SB 476 on a 32-18 vote largely along party lines, sending the measure to the House.
- The bill lifts the standard deduction to $100,000 for married couples and $50,000 for single filers, which sponsors say will erase state income taxes for some households.
- It incorporates Gov. Brian Kemp’s rate cut to 4.99% starting in the 2026 tax year and is billed as covering the first two years of a six-year path toward eliminating the income tax.
- Sponsors propose offsetting lost revenue by eliminating data-center incentives and other corporate and special-interest tax breaks and by sunsetting income tax credits by 2032, citing research that many projects would proceed without subsidies.
- Democrats warn the plan could blow a roughly $9 billion hole in revenue and strain services such as education and healthcare, while sponsors note it does not raise sales or motor fuel taxes or add a property tax.