Georgia Partnership Income Tax Booklet

Partnership Income Tax Booklet
IT-711 Partnership Income Tax General Instructions
IT-711
Rev. 01.17.25

Brian P. Kemp

Frank M. O’Connell
											Revenue Commissioner

Governor

State of Georgia
Department of Revenue
2024

Partnership Income Tax
General Instructions

File Form 700 electronically. Visit our website dor.georgia.gov for more information.

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FROM THE COMMISSIONER
This booklet is designed to provide information and
assist partnerships in filing their Georgia partnership
tax returns. I recommend you review the Department’s
website if there are any changes affecting your return.
This booklet contains the instructions required by most
partnerships. If you need forms, we encourage
you to visit our website at dor.georgia.gov. There
you can download forms and always obtain upto-date
tax information and news from the
Department of Revenue.
The Department of Revenue, as outlined in the
Taxpayer Bill of Rights, (https://dor.georgia.gov/
taxpayer-bill-rights) will provide “fair, courteous and
timely service” to the taxpayers of Georgia. Our
mission is to administer the tax laws of the state of
Georgia fairly and efficiently in order to promote
public confidence and compliance while providing
excellent customer service.
Frank M. O’Connell
Revenue Commissioner

The Georgia Department of Revenue accepts Visa,
American Express, MasterCard, and Discover credit cards
for payment of:

√
√

Current-year Partnership Income Tax payments;

√

Partnership estimated tax payments.

Liabilities on Department of Revenue-issued assessment
notices

What’s Inside?
Adjustments to Federal Income...............................................2
Amended Returns...................................................................2
Computation of Income for Georgia Purposes .......................4
Corporate Partners of Partnerships........................................4
Federal Audit ..........................................................................2
Filing Requirements................................................................2
Georgia Tax Center...............................................................1
Guaranteed Payments..........................................................4
Income Apportionment and Allocation ....................................3
Income to Partners .................................................................4
Net Worth Tax .........................................................................4
Partnerships with Nonresident Partners .................................4
Tax Credits.........................................................................9-19
Telephone Assistance .............................................................5
What’s New ............................................................................2
When and Where to File .........................................................2

Georgia Tax Center
What is the Georgia Tax Center? The Georgia Tax Center (GTC) is the Department of Revenue’s secure selfservice customer facing portal for making online Individual or Business Tax payments and for corresponding with the Department.

Who Can Sign Up? Any taxpayer that pays taxes in the State of Georgia is eligible to use GTC for Adult Entertainment

Tax, Alcohol License, Composite Tax, Corporate Income Tax, Fiduciary Income Tax, Fireworks Excise Tax, International
Fuel Tax, Motor Fuel Distributor Tax, Non-Prepaid 911 Charge, Prepaid Wireless 911 Charge, Public Service Commission,
Public Utilities and Airlines, Qualified Timberland Property, Railroad Equipment, Sales and Use Tax, State Hotel-Motel Fee,
Tobacco License, Transportation Services Tax, Withholding Misc., Withholding Misc. Film and Withholding Tax. For more
information, see https://gtc.dor.ga.gov.
Note: Third party filers can sign up for GTC to access their clients’ information with the proper documentation and
authorization. For more information see https://dor.georgia.gov/taxes/information-tax-professionals/third-party-filers

How Do I Sign Up? To use GTC, visit our website at https://gtc.dor.ga.gov. First time users must register before accessing tax accounts. To register, you will need:
•
•
•
•
•

Tax type account number
Federal Employer Identification Number (FEIN) / Social Security Number (SSN)
Amount of your last payment
ZIP code of your business location
A valid e-mail address

Third party filers can sign up for GTC to access their clients’ information with the proper documentation and
authorization. For more information see https://dor.georgia.gov/taxes/information-tax-professionals/third-party-filers.
Please visit our website for instructional videos and frequently asked questions: dor.georgia.gov/taxes/georgia-tax-center-help.

GTC Features
•

Request a refund

•

Address updates

•

Penalty waivers

•

Protest of Proposed Assessments

•

Register and add access to accounts

•

Submit a Power of Attorney (POA)

•

View account balances

•

Respond to document request notices

•

Manage your tax credits

•

Make payments as a direct debit from a US bank and/or using credit or debit cards

•

View copies of correspondence

•

Request an Installment Plan Agreement (IPA) or an Offer in Compromise (OIC)

•

Request Tax Clearance

For a complete list of features visit GTC at https://gtc.dor.ga.gov

Page 1

WHAT’S NEW

GENERAL INFORMATION

New Tax Rate: For taxable years beginning on or after January 1, 2024,
the income tax rate for Partnerships electing to pay tax at the entity level
is the same income tax rate imposed on individual taxpayers for the corresponding taxable year. The tax rate for the taxable year beginning on or
after January 1, 2024 is 5.39%. The tax rate is not prorated but is applicable
for the entire tax period. Fiscal filers must use the tax rate based on the
start of their filing period when filing; the tax rate is not prorated. The tax
rate for subsequent tax years may change.
Historic Rehabilitation Tax Credit (152/153), Qualified Education
Donation Credit (140), Rural Zone Credit (142) These credits have
been extended and revised, for more information, see Tax Credits
Section in this booklet or https://dor.georgia.gov/tax-credit-summaries
Qualified Payments to Classified Subcontractors : Effective January 1,
2024, a corporation which is a party to state contracts may subtract from
Federal taxable income 10% of qualified payments to classified subcontractors. A classified subcontractor is defined as a small business certified
as a minority business enterprise, women owned business, or veteran
owned business. Previously, the subtraction was available only for qualified
payments to minority businesses. See page 3 for more information.
Grants and Subgrants Received for Investments in Broadband Infrastructure: For taxable years beginning on or after January 1, 2024 and prior
to January 1, 2029, a corporation can subtract from taxable income any
broadband infrastructure investment grant or subgrant received pursuant
to the Broadband Equity, Access, and Development Program (BEAD) or
the American Rescue Plan of 2021 but only to the extent that such grant
or subgrant is included in the corporation’s taxable income.
FEDERAL TAX CHANGES/CONFORMITY, NEW LEGISLATION,
ANOTHER POLICY INFORMATION
Federal Tax Changes/Conformity with Federal Changes, New Legislation,
and other Policy information are available via the Department’s website

https://dor.georgia.gov/taxes/tax-rules-and-policies/income-tax-federal-tax-changes
FILING REQUIREMENTS
A partnership, limited liability company, syndicate, group, pool, joint venture
and unincorporated organization which is engaged in business or owns
property located in Georgia or has members domiciled in Georgia or has
income from Georgia sources, and which is required to file a Federal
Income Tax return on Form 1065, is required to file a Georgia Income Tax
return on Form 700.
WHEN AND WHERE TO FILE
Form 700 must be filed on or before the 15th day of the third month
following the close of the taxable year. This would be March 15th if filing
on a calendar year basis. If the due date falls on a weekend or holiday,
the return is due on the next day that is not a weekend or holiday.
Paper returns should be mailed to the Georgia Department of Revenue,
Processing Center, P.O. Box 740315, Atlanta, Georgia 30374-0315.
ELECTION TO PAY AT THE ENTITY LEVEL
A partnership may annually make an irrevocable election to pay income
tax at the entity level instead of passing the income tax liability through to
the partners. To make the election, the partnership must check the box,
“Partnership elects to pay the tax at the entity level”, on the Form 700 by
the due date or extended due date of the Form 700.
The election to pay tax at the entity level is binding on all partners, including
nonresident partners. A composite return is not required when the election
is made. Any allocable shares of the electing partnership’s income or loss
included on the partners’ Federal adjusted gross income must be adjusted
on the partners’ own Georgia income tax returns. The partners are not
eligible to claim a credit for taxes paid to Georgia with respect to income
taxed at the partnership level.
Tax attributes, including but not limited to credits and net operating losses,

Page 2

do not pass through to the partners but remain with the electing
partnership regardless of whether an election is made for subsequent taxable years. However, an electing partnership may make
an irrevocable election to pass through all or part of any credit,
that is generated within the applicable statute of limitation period
for the partnership, to its partners for the taxable year the credit
is generated. The election to pass credits through to the partners
is not available for the Qualified Education Expense Tax Credit,
the Qualified Education Donation Credit, and the Qualified Rural
Hospital Expense Tax Credit.
The electing partnership must make estimated tax payments in
the same manner as a C Corporation. Estimated payments made
by the partners are not eligible to be transferred to the electing
partnership but can be used to compute the penalty on Form
600-UET as if the electing partnership had made such payments.
See Code Section 48-7-23 and Regulation 560-7-3-.03 for more
information.
FEDERAL AUDIT
Georgia House Bill 849 was enacted in 2017. This bill modifies
Code Section 48-7-53 and provides for the reporting of federal
partnership adjustments effective for taxable years beginning on
or after January 1, 2018. With a federal partnership adjustment,
the partnership is required to file an amended Georgia return
(please check the “Amended due to IRS Audit” box on Page 1 of
the Form 700). With a federal partnership adjustment (and also
for an amended return filed by the partnership), a partnership
may elect to pay the tax due on behalf of its partners by checking
the box on page 1 of Form 700. If the partnership makes this
election, a schedule should be attached to the Form 700 which
provides the details of the income reported for the partners and
the total income should be entered on page 1 of Form 700.
The bill also provides for Georgia partnership audit adjustments
and related appeals effective for taxable years beginning on
or after January 1, 2017, and earlier if the Department and
the partnership agree. For a Georgia partnership audit, a
partnership may elect to pay the tax due on behalf of its partners
by checking the box on Line 2 of Schedule 1. This election
can be made on an original or amended return filed before the
audit starts or at the time of the audit. If the election is made,
the partnership will not file an amended return, instead the
Department will issue a notice to the partnership to facilitate the
collection of the tax. If the election is not made, the partnership
and its direct and indirect partners must file amended returns.
AMENDED RETURNS
If a partnership becomes aware of changes after filing its
return, it should file an amended Form 700. Check the
Amended return box on Form 700 and submit an amended
K-1 for each partner and a complete copy of the amended
Federal partnership return, including schedules, if applicable.

STATE PARTNERSHIP REPRESENTATIVE

Indicate on page 1 the State Partnership Representative if different
than the Federal Partnership Representative. See Regulation
560-7-3-.11 for more information.
RELATION TO THE FEDERAL RETURN
The Georgia returns correlates to the Federal return in
most respects (see information about Federal tax changes).
The accounting period and method used for the Georgia
return must be the same as on the Federal return.
A complete copy of the Federal return and all supporting
schedules must be included with the Georgia return.
Otherwise, your return will be deemed incomplete.
ADJUSTMENTS TO FEDERAL INCOME
(Schedules 5 and 6)
To determine the total income for Georgia purposes, certain
adjustments as provided by Georgia law are included in the
computations for Schedules 5 and 6. The total additions to Federal

GENERAL INFORMATION

Income should be placed on Line 9 of Schedule 8, and listed in Schedule
5. The total subtractions from Federal income should be shown on Line 11
of Schedule 8 and listed on Schedule 6. The more commonly used items
are listed in each schedule.

A partnership must add back all intangible expense and related
interest expenses directly or indirectly paid to a related member.
All such expenses must be listed as an addition to Federal income
even if the taxpayer qualifies for an exception. If the taxpayer
qualifies for a full or partial exception, Form IT-Addback must
be completed in order for the taxpayer to take a subtraction on
Schedule 6 for all or any portion of the addition listed on Schedule 5.

A nonresident, who receives deferred compensation or income from
the exercise of stock options that were earned in Georgia in a prior
year is required to pay tax on the income, but only if the prior year’s
income exceeds the lesser of: 1) 5 percent of the income received by
the person in all places during the current taxable year; or 2) $5,000.
However, the income is not taxed if federal law prohibits the state
from taxing it. Federal law prohibits state taxation of some types of
retirement income including pensions as well as income received
from nonqualified deferred compensation plans if the income is
paid out over the life expectancy of the person or at least 10 years.
An employer is required to withhold Georgia income tax on any
amounts that are required to be included in the nonresident’s income.

INCOME APPORTIONMENT AND ALLOCATION

A partnership must add back all captive REIT expenses directly or indirectly
(Schedules 7 and 2)
paid to a related member. All such expense must be listed as an addition to
If any Partnership, domestic or foreign, is doing business or owns
federal income even if the taxpayer qualifies for an exception. If a
property either within and/or outside of Georgia, the average ratio as
taxpayer qualifies for a full or partial exception, Form IT-REIT must be
computed in Schedule 7 should be used to compute Georgia Net Income
completed.
in Schedule 2. If the business income of the partnership is derived from
Georgia sources, from property owned or business done within this
A taxpayer must addback payments of more than $600 in a taxable State, and in part from property owned or business done outside this
year made to employees who are not authorized employees and State, the tax shall be imposed only on that portion of the business
who are not excepted by O.C.G.A.§ 48-7-21.1. An authorized income which is reasonably attributable to Georgia sources and property
employee is someone legally allowed to work in the United States. owned and business done within this State, to be determined as follows:
(1) Interest received on bonds held for investment and income
A d d i t i o n a l l y , a d j u s t m e n t s d u e t o F e d e r a l t a x c h a n g e s received from other intangible property held for investment are not
should be reported as stated on the Department’s website: subject to apportionment. Rentals received from real estate held
dor.georgia.gov/taxes/tax-rules-and-policies.
purely for investment purposes and not used in the operation of
the business are also not subject to apportionment. All expenses
U.S. obligation income that is subtracted must be reduced by direct and connected with the interest and rentals from such investments are
indirect interest expense. To arrive at such reduction, the total interest likewise not subject to apportionment but must be applied against
expense is multiplied by a fraction, the numerator of which is the taxpayer’s the investment income. The net investment income from intangible
average adjusted basis of the U.S. obligations, and the denominator property shall be allocated to Georgia if the partnership’s situs is in
of which is the average adjusted basis of all assets of the taxpayer. Georgia, or the intangible property was acquired as income from
property held in Georgia, or as a result of business done in Georgia.
Any expense that is subject to further limitation (e.g., Section 179 Deduction, Net investment income from tangible property in Georgia shall be
Charitable Contributions, etc.) is not deductible in calculating total income allocated to Georgia.
for Georgia purposes. However, these expenses may be deductible on
(2) Gains from the sale of tangible or intangible property not held, owned
the partner’s income tax return.
or used in connection with the trade or business of the partnership, nor
for sale in the regular course of business, shall be allocated to Georgia
Where salaries and wages are reduced in computing Federal if the property sold is real or tangible personal property situated in this
taxable income because a federal jobs tax credit has been taken, State, or intangible property having an actual situs or a business situs
which required the elimination of the salary and wages deduction, the within this State. Otherwise, the gains shall not be allocated to this State.
eliminated salary and wage deduction shall be subtracted from Georgia
taxable income. Regulation 560-7-7-.05 defines the term “Federal jobs tax credit”. (3) Net income of the above classes having been separately allocated
and deducted the remainder of net business income shall be
Taxpayers who are parties to state contracts may subtract from Federal apportioned as follows:
taxable income or Federal adjusted gross income 10% of qualified
ONE FACTOR FORMULA
payments to classified subcontractors or $100,000, whichever is less, per
taxable year. A list of classified subcontractors is maintained by the (a) Gross Receipts Formula. The gross receipts factor is the
Commissioner of the Department of Administrative Services for the ratio of gross receipts from business done within this State
Revenue Department and general public. To register your business as a to total gross receipts from business done everywhere.
classified subcontractor or to view the list, call 404-656-5514 or visit https:// Receipts derived from the sale of tangible personal property shall
doas.ga.gov/state-purchasing/georgia-business-certification-program
be deemed to have been derived from business done in Georgia
if they were received from products shipped to customers in
A partnership may subtract Federally taxable interest received on Georgia this State or products delivered within this State to customers.
municipal bonds designated as “Build America Bonds” under Section When receipts are derived from business other than the sale of
54AA of the Internal Revenue Code of 1986. “Recovery Zone Economic tangible personal property, receipts shall be deemed to have been
Development Bonds” under Section 1400U-2 of the Internal Revenue Code derived in Georgia if received from customers within this state, or if
or any other bond treated as a “Qualified Bond” under Section 6431(f) of the receipts are otherwise attributable to this State’s marketplace.
the Internal Revenue Code are considered “Build America Bonds” for this
purpose. A partnership may also subtract federally taxable interest received  For tax years beginning on or after January 1, 2008, the Georgia
on Georgia municipal bonds issued by the State of Georgia and certain apportionment ratio shall be computed by applying only the gross
authorities or agencies of the State of Georgia for which there is a special receipts factor. See Rules and Regulation 560-7-7-.03 for specific details.
exemption under Georgia law from Georgia tax on such interest.
 For tax years beginning on or after January 1, 2006, a company
Georgia follows the provisions of I.R.C. Section 163(j) as they existed before whose net income is derived from the manufacture, production, or
sale of tangible personal property, and from business other than the
the 2017 Tax Cuts and Jobs Act.
manufacture, production, or sale of tangible personal property, must
See Georgia Code Section 48-7-27 for additional adjustments.
include gross receipts from both activities in their receipts factor.
 For tax years beginning on or after January 1, 2006, a

DEFERRED COMPENSATION

Page 3

GENERAL INFORMATION (continued)
company whose net income is derived from business other
than the manufacture, production, or sale of tangible personal
property, only includes in their receipts factor gross receipts from
activities which constitute the taxpayer’s regular trade or business.
(b) Apportionment of Income; Business Joint Venture and
Business Partnerships. A corporation or partnership which is
involved in a business joint venture, or is a partner in a business
partnership, must include its pro rata share of the joint venture or
partnership gross receipts values in its own apportionment formula.

COMPUTATION OF TOTAL INCOME FOR GEORGIA
PURPOSES (Schedule 8)

Schedule 7 reflects flow-through income from the federal return which
is taxable to the individual partners. A resident partner is required
to report his full share of partnership income or loss. A nonresident
partner is required to report only his share of Georgiaapportioned and Georgia-allocated income on such partner’s
return. Payments made to a partner for services rendered or
interest on capital contributions (guaranteed payments) are
not deductible when computing the partnership’s net income.
Schedule 8 is similar to the Federal Schedule K. Enter the total
amounts from each category on Schedule 8 where applicable.

GA Net Operating Loss (NOL) Carry Forward Worksheet
(Schedule 9)

This worksheet should be used to calculate the NOL carryovers. Select
the type of loss for the current year. The types of losses are as follows:
•
Normal Loss: A Normal loss can only be carried forward until
exhausted.
•
Insurance loss (2) year: An Insurance loss can be carried back
2 years and carried forward for 20 years or until exhausted.
•
Farm Loss (2) Year: A Farm loss can be carried back 2 years. A
Farm loss can be carried forward indefinitely or until exhausted.
For columns A-F see the instructions on Schedule 9 on page 6 of
this booklet.

INCOME TO PARTNERS (Schedule 4)

This schedule provides space to show identifying information and
income distributable to the individual partners.
Enter for each partner: 1. Name; 2. Street and Number; 3. City,
State, Zip Code and Country if foreign; 4. Social Security or Federal
Identification Number; 5. Profit (L oss) sh aring percentage (Enter
the ending percentage that is listed on the Federal K-1); 6. Georgia
Source Income. If the partnership has more than 5 partners, attach
a separate schedule for the additional partners in the same format.
Total Georgia source income may differ from total net income because
some of the partnership income (e.g., guaranteed payments) may
not be based on the profit-sharing ratio, or the partner is a Georgia
resident. See example on pages 4 and 5.

CREDIT USAGE AND CARRYOVER (Schedule 10)

Credits that are eligible to be sold only include series 100 tax
credits that are eligible to be directly transferred or sold pursuant
to the applicable statute and that have not been previously passed
through and made available to the partners of the partnership or
tiered partnership. These credits may be entered on Schedule
3, Line 3. Series 100 tax credits are any tax credit designated
by the Department with a tax credit code from 100 through 199.
Enter the information as specified on each line of Schedule
10. With respect to Line 10, the “Tax Credits” summary in this
booklet includes information regarding which credits can be sold.

Computation of Tax Due or Overpayment (Schedule 3)

If you have an overpayment and an amount due for interest, Form
600UET and/or other penalties the following should be applied:
If Line 6 is greater than Line 7, Line 8 and Line 9 combined, subtract
Lines 7, 8 and 9, from Line 6 and enter the overpayment on Line 12.
Otherwise, add Lines 7, 8 and 9, and then subtract Line 6. Enter this
amount on Line 10.

CORPORATE PARTNERS OF PARTNERSHIPS

A corporation will be considered to own property in Georgia,
do business in Georgia, or have income from Georgia sources
whenever the corporation is a partner, whether limited or
general, in a partnership which owns property or does
business in Georgia, or has income from Georgia sources.

LIMITED LIABILITY COMPANY

Each limited liability company and foreign limited liability company
shall be classified as a partnership for Georgia income tax purposes
unless classified otherwise for Federal income tax purposes, in
which case the limited liability company or foreign limited liability
company shall be classified for Georgia income tax purposes in the
same manner as it is classified for federal income tax purposes.

NET WORTH TAX

Partnerships are not subject to net worth tax.

PARTNERSHIP WITH NONRESIDENT PARTNERS

Nonresident partners of partnerships doing business both within
and outside Georgia shall compute their proportionate part of
the partnership’s allocated and apportioned income from the
schedules on Form 700. Georgia net income computed on Line 7
of Schedule 2 should be multiplied by the percentage of ownership.
This amount is further adjusted by the partner’s share of the
separately stated items mentioned on the Department’s website.
Please see page 2 for a link to the Federal Tax Changes section
on the website and for the Adjustments to Federal Income section.
A partnership that owns property or does business within this State is
required by O.C.G.A. § 48-7-129 to withhold on the annual partner’s
share of taxable income sourced to Georgia. The withholding tax
rate is 4%. Withholding is not required if the annual partner’s share
of taxable income sourced to Georgia is less than $1,000. Also
there are various exemptions from nonresident withholding. See
Regulation 560-7-8-.34 and Form NRW-Exemption. As an alternative
to withholding, the partnership may file a composite return (Form IT
CR) for its nonresident partners. Permission is not required to file a
composite return. Please check the Composite Return Filed box on
page 1 of Form 700.
Subsection (c) of O.C.G.A. § 48-7-24 provides an exemption
from Georgia income tax for a nonresident partner who receives
income from a partnership which derives income exclusively
from buying, selling, dealing in, and holding securities on
its own behalf and not as a broker. Accordingly, withholding
under O.C.G.A. § 48-7-129 would not apply in this situation.
Note: This exemption does not apply to a family limited
partnership or similar nontaxable entity, the majority interest of
which is owned by one or more natural or naturalized citizens
related to each other within the fourth degree of reckoning
according to the laws of descent and distribution. Also, this
exemption does not apply to a partner that participates in
the management of the partnership or that is engaged in a
unitary business with another person (including entities) that
participates in the management of the partnership.

GUARANTEED PAYMENT EXAMPLE
The following example illustrates how guaranteed payments
should be treated when there is a nonresident partner: There
are two partners in the partnership. Partner One is a resident
of Georgia and owns 25% of the partnership. Partner One
receives a guaranteed payment of $10. Partner Two is a
nonresident of Georgia and owns 75% of the partnership.
Partner Two receives a guaranteed payment of $40. The profit
and loss sharing ratio is the same as the ownership
percentage. The Georgia apportionment ratio on Line 2,
Schedule 7, of Form 700 is 50%.

Page 4

GENERAL INFORMATION (continued)
Ordinary income reported on
line 1, schedule 8, of Form 700............................................$100
Guaranteed payment reported on
line 5, schedule 8, of Form 700............................................ $50	
Total income for Georgia purposes,
line 12, schedule 8, of Form 700..........................................$150
Partner One (resident) is required to report $35 on the Georgia return. The entire $10 guaranteed payment plus their share
of the ordinary income of the partnership, which is $25 ($100
ordinary income placed on line 1, schedule 8, of Form 700
multiplied by the ownership percentage of 25%). Partner Two
(nonresident) is required to report $58 on the Georgia return.
The Georgia portion of the guaranteed payment is $20 ($40
guaranteed payment multiplied by the Georgia ratio of 50%)
plus the share of the Georgia portion of the ordinary income
of the partnership, which is $38 ($100 ordinary income placed
on line 1, schedule 8 of Form 700 multiplied by their ownership
percentage of 75% multiplied by the Georgia ratio of 50%).

FREQUENTLY ASKED QUESTIONS

Answers to frequently asked questions regarding corporations,
S Corporations, partnerships, LLCs, and nonresident
withholding are available on our website at https://dor.georgia.
gov/taxes/tax-faqs-due-dates-and-other-resources
TELEPHONE ASSISTANCE
Customer Contact Center.................................1-877-423-6711

DIRECT DEPOSIT OPTION

DIRECT DEPOSIT- Fast Refunds! Choose Direct Deposit.
A fast, simple, safe, secure way to have your refund deposited automatically to your checking or savings account. Check the appropriate box for the type of account. Do not check more than one box. You
must check the correct box to ensure your direct deposit is accepted.
The routing number must be nine digits. The first two digits must be
01 through 12 or 21 through 32. Ask your financial institution for the
correct routing number to enter if:
• The routing number on a deposit slip is different from the routing
number on your checks.
• The deposit is to a savings account that does not allow you to write
checks or

• Your checks state they are payable through a financial institution
different from the one at which you have your checking account.
The account number can be up to 17 characters (both numbers and
letters). Include hyphens but omit spaces and special symbols. Enter the number from left to right and leave any unused boxes blank.
Reasons your direct deposit may be rejected – If any of the following apply, your direct deposit request may be rejected,and a check will be sent:
• Any numbers or letters are crossed out or whited out.
• Your financial institution may not allow a joint refund to be deposited to an individual account. The State of Georgia is not responsible
if a financial institution rejects a direct deposit.
• You request a deposit of your refund to an account that is not in
your name (such as your tax preparer’s own account).

Page 5

GEORGIA NOL CARRY FORWARD WORKSHEET EXAMPLE
Current Year NOL Type:

A

Loss Year
2021
2022

Normal Loss

B

Loss Amount
$ 118,765

C

Income Year

Farm Loss

D

X
E

E

NOL Utilized

$ 386,280

M
A

Insurance Loss

Balance

F

Remaining NOL

$ 118,765

$ 118,765

$ 386,280

$ 386,280

E
L
P

1. NOL Carry Forward Available to Current Year

$ 505,045

2. Current Year Income / (Loss) (Schedule 1, Line 5 or Schedule 7, Line 7)

$ 404,036

3. NOL from Taxable Years Beginning on or after 1/1/2018 Applied to Current Year (Cannot exceed 80% of
Line 2; see instructions for more information) (Enter on Schedule 1, Line 4)
4. NOL Carry Forward Available to Next Year (Line 1 less Line 3 plus any loss amount on Line 2)

INSTRUCTIONS

$ 323,229
$181,816

Column A: List the loss year(s).
Column B: List the loss amount for the tax year listed in Column A.
Columns C & D: List the years in which the losses were utilized and the amount utilized each year.
Column E: List the balance of the NOL after each year has been applied. (Column B less Column D).
Column F: List the remaining NOL applicable to each loss year.
Total the remaining NOL (Col. F) and enter in the space at the bottom of the worksheet for “NOL Carry forward Available to Current Year”.
Then insert “Current Year Income / (Loss)” in the space provided and compute the remainder of the schedule. Create additional copies as
needed.
Page 6

PARTNERSHIP ESTIMATED INCOME TAX INSTRUCTIONS
PARTNERSHIPS THAT MUST FILE ESTIMATED TAX
The tax rate is 5.39%
A partnership that elects to pay tax at the pass-through entity level must make estimated tax payments in the same manner as a corporation and using the Form 602-ES. Every domestic or foreign partnership subject to taxation in Georgia shall pay estimated tax for the
taxable year if its net income for such taxable year can reasonably be expected to exceed Twenty-Five Thousand Dollars ($25,000.00).
All partnership income tax must be paid directly to the Georgia Department of Revenue. The estimated tax shall be paid on the specified
dates so as to effect payment in full of the estimated tax by the 15th day of the twelfth month of the taxable year.
If the requirements to file estimated tax under Code Section 48-7-117 are first met as shown in the left-hand column of the following table,
then the estimated tax shall be due as shown in the remaining columns.
Failure to comply with the provisions of the law may result in a penalty of 5% of the income tax for failure to pay estimated tax and a
charge at a rate of 9% per annum for underpayment of estimated tax. Compute the 9% penalty on Form 600 UET and check the “UET
Annualization Exception attached” box if an exception applies and attach the 600 UET to the return. Enter penalty from 600 UET on
schedule 3 line 8 of Form 700.

	 The following percentages of estimated tax shall
	 be paid on or before the fifteenth day of the:
	
	

4th MONTH 	
OF THE 	
TAXABLE 	
YEAR 	

6th MONTH 	
OF THE 	
TAXABLE 	
YEAR 	

9th MONTH 	
OF THE 	
TAXABLE 	
YEAR 	

12th MONTH
OF THE
TAXABLE
YEAR

25% 	

25% 	

25% 	

25%

33 1/3% 	

33 1/3% 	

33 1/3%

50% 	

50%

Before the first day of the fourth month of the taxable year. 	
After the last day of the third month and before the first day 		
of the sixth month of the taxable year.

After the last day of the fifth month and before the first day 			
of the ninth month of the taxable year.
After the last day of the eighth month and before the first 				
day of the twelfth month of the taxable year.

100%

NEW ESTIMATED TAX FILERS
If you determine that you are required to file estimated tax, mail your initial payment along with Form 602ES. The estimated tax worksheet
is on the Form 602ES. Include your corporate name, address, telephone number, Federal Employer Identification Number, and the taxable
year. For more information, contact the Department at 1-877-423-6711.
Form 602ES should be mailed to State of Georgia, Department of Revenue, P.O. Box 105136, Atlanta, Georgia 30348-5136. Check or
money order for payment of tax should be made payable to Georgia Department of Revenue. Include your Federal Employer Identification
Number on your check or money order.

ELECTRONIC PAYMENT
You may pay partnership income and estimated taxes using Georgia Tax Center (GTC). This integrated tax system gives partnership
taxpayers the ability to pay the tax via a secure internet connection.
Please visit the GTC website at https://gtc.dor.ga.gov for more information. You may also contact the Customer Contact Center at 1-877-423-6711.

EXTENSION INFORMATION FOR PARTNERSHIPS
Georgia Code Section 48-7-57 provides that a taxpayer need not apply for a Georgia extension if the taxpayer applies for and receives an
automatic six (6) month extension to file their Federal income tax return. If the return is received within the time extended by the Internal
Revenue Service and Form 7004 is attached to the return, no late filing penalties will apply. Georgia law prohibits granting an extension
of more than six months from the due date of the return. Failure to attach a copy of the Federal extension will result in the return being
considered filed late and the assessment of applicable penalties. If you do not need a Federal extension, use Form IT-303 to request a Georgia
extension if necessary. If an extension is granted but the tax was not paid by the statutory due date, late payment penalties will be assessed
until the tax is paid (income tax at 1/2 of 1% per month up to 25% of the tax due; net worth tax at 10%). Also, interest will be assessed as
specified on page 4 from the statutory due date until the tax is paid in full. Late payment on penalties and interest accrue from the statutory
due date regardless of an extension. Non estimated tax payments made prior to filing a completed return must be accompanied by Form IT560C and claimed on Form 700, Schedule 3, Line 2. An extension of time does not alter interest or penalty charges for late payment of tax.

NOTE: Check the “Extension” box on Form 700 if a Federal or Georgia extension was granted. Failure to check the
extension box will result in assessment of a late filing penalty.
Page 7

THIS PAGE INTENTIONALLY LEFT BLANK

Page 8

EXAMPLE OF HOW TO FILL OUT A TAX CREDIT SCHEDULE
FOR CREDITS THAT DO NOT REQUIRE PRE-APPROVAL
If receving the same credit type from multiple entities, you must complete one tax credit schedule for each credit code.
For the credit generated this tax year, list the Company Name and ID number if applicable. If the credit originated with this taxpayer,
enter this taxpayer’s name and ID#. Only enter a certificate number if the Department has provided a letter with your unique certificate number because the credit is preapproved. Purchased credits and credits received from an allocation should be included
on this schedule. If a credit is purchased from a previous year the credit should be claimed as previous year credit.

1. Credit Code

103

2. Company Name TAXPAYER’S NAME

ID Number

Credit Certificate #

Credit Generated

3. Company Name XYZ LLC

ID Number

Credit Certificate #

Credit Generated

4. Company Name ABC COMPANY

ID Number

Credit Certificate #

Credit Generated

5. Company Name

ID Number

Credit Certificate #

Credit Generated

6. Company Name

ID Number

Credit Certificate #
7. Company Name
Credit Certificate #
8. Company Name
Credit Certificate #

12-3456789
45,000
67-0009876
3,000
57-2233445
3,000

Credit Generated
ID Number
Credit Generated
ID Number
Credit Generated

9. Total available credit for this tax year (sum of Lines 2 through 8)
10. Enter the amount of credit sold (only certain credits can be sold; see instructions)
11. Total allocated to owners on Schedule 11
12. Credit used on Form IT-CR
13. Credits eligible to be sold that were not sold or allocated to partners from previous
years (do not include amounts elected to be applied to withholding)
14. Credits used on Schedule 3 Line 3
15. Potential carryover to next tax year (Line 9 less Lines 10, 11, 12 14 plus Line 13)

Page 9

9.
10.
11.
12.
13.
14.
15.

51,000
51,000

0

EXAMPLE OF HOW TO FILL OUT A TAX CREDIT SCHEDULE
FOR CREDITS THAT REQUIRE PRE-APPROVAL
If receving the same credit type from multiple entities, you must complete one tax credit schedule for each credit code. For the
credit generated this tax year, list the Company Name and ID number if applicable. If the credit originated with this taxpayer, enter
this taxpayer’s name and ID#. Only enter a certificate number if the Department has provided a letter with your unique certificate
number because the credit is preapproved. Purchased credits and credits received from an allocation should also be included on
this schedule. If a credit is purchased from a previous year the credit should be claimed as previous year credit.

1. Credit Code

122

2. Company Name TAXPAYER’S NAME

ID Number

Credit Certificate # 0112233445

12-3456789

Credit Generated

3. Company Name

10,000

ID Number

Credit Certificate #

Credit Generated

4. Company Name

ID Number

Credit Certificate #

Credit Generated

5. Company Name

ID Number

Credit Certificate #

Credit Generated

6. Company Name

ID Number

Credit Certificate #

Credit Generated

7. Company Name

ID Number

Credit Certificate #

Credit Generated

8. Company Name

ID Number

Credit Certificate #

Credit Generated

9. Total available credit for this tax year (sum of Lines 2 through 8)
10. Enter the amount of credit sold (only certain credits can be sold; see instructions)
11. Total allocated to owners on Schedule 11
12. Credit used on Form IT-CR
13. Credits eligible to be sold that were not sold or allocated to partners from previous
years (do not include amounts elected to be applied to withholding)
14. Credits used on Schedule 3 Line 3
15. Potential carryover to next tax year (Line 9 less Lines 10, 11, 12 14 plus Line 13)

Page 10

9.
10.
11.
12.
13.
14.
15.

10,000
10,000

0

Code
			

		
			
			
			
			
			
			
			

TAX CREDITS
Note: A return is required to be filed electronically if the return generates, allocates, claims, utilizes, or includes
in any manner a Series 100 credit.
Disregarded Single Member LLC Credit Instructions. If the taxpayer owns or is owned by a disregarded
single member LLC, the single member LLC should be disregarded for filing purposes. All credits should
be claimed on the owner’s return. All tax credit forms should be filed in the name of the single member
LLC but included with the owner’s return. This is necessary so that the returns can be processed and
the credits flow to the proper taxpayer.
Note: The Timber Tax Credit (145) is not refundable directly to a partnership. Instead it is refundable to
the owners of a partnership (if not purchased).

102	

Employer’s Credit for Approved Employee Retraining. The retraining tax credit allows employers to claim certain costs of
retraining employees to use new technology. However, approved retraining shall not include any retraining on commercially, mass
produced software packages for word processing, database management, presentations, spreadsheets, email, personal information
management, or computer operating systems except a retraining tax credit shall be allowable for those providing support or training
on such software. The credit is calculated at 50% of the direct costs of retraining full-time employees, up to $500 per employee per
approved retraining program per year. There is a cap of $1,250 per year per full-time employee who has successfully completed more
than one approved retraining program. The credit may be utilized up to 50% of the taxpayer’s total state income tax liability for a tax
year. The credit must be claimed within one year instead of the normal three-year statute of limitation period. Credits claimed but not
used may be carried forward for 10 years. For taxable years beginning on or after January 1, 2025, any credits generated but not
used may be carried forward for five years. For a copy of the Retraining Tax Credit Procedures Guide, contact the Technical College
System of Georgia. This credit should be claimed on Form IT-RC, with Program Completion forms signed by Technical College
System of Georgia personnel attached. For more information, refer to O.C.G.A. §48-7-40.5 and Policy Statement IT-2010-01-07.

103	

Employer’s Jobs Tax Credit. This credit provides for a statewide job tax credit for any business or headquarters of any
such business engaged in manufacturing, warehousing and distribution, processing, telecommunications, broadcasting,
tourism, research and development industries, biomedical manufacturing or services for the elderly and persons with disabilities but does not include retail businesses. If other requirements are met, job tax credits are available to businesses
of any nature, including retail businesses, in counties recognized and designated as the 40 least developed counties.

	

	
	
	
	
	

104 		

Tier Designation

County Rankings

New Jobs Created

Credit Amount

Tier 1

1 through 71

2 or more*

$3,500

Tier 2

72 through 106

10 or more

$2,500

Tier 3

107 through 141

15 or more

$1,250

Tier 4

142 through 159

25 or more

$750

Credits similar to the credits available in Tier 1 counties are potentially available to companies in certain less developed census
tracts in the metropolitan areas of the state. Note that the average wage for each new job must be above the average wage of
the county that has the lowest average wage of any county in the state. Also, employers must make health insurance available
to employees filling the new full-time jobs. Employers are not, however, required to pay all or part of the cost of such insurance
unless this benefit is provided to existing employees. In Tier 1 and Tier 2 counties, the total credit amount may offset up to
100% of a taxpayer’s state income tax liability for a taxable year. In Tier 3 and Tier 4 counties, the total credit amount may offset up to 50% of a taxpayer’s state income tax liability for a taxable year. In Tier 1 counties and less developed census tracts,
credits may be taken against a company’s income tax withholding. Credits for competitive projects in Tier 2, Tier 3, and Tier 4
counties may also be taken against income tax withholding. To claim the credit against withholding, a business must file Form
IT-WH in the manner provided in Revenue Regulation 560-7-8-.36. A credit claimed but not used in any taxable year may be
carried forward for 10 years from the close of the taxable year in which the qualified jobs were established. For taxable years
beginning on or after January 1, 2025, any credits generated but not used may be carried forward for five years. The measurement of the new full-time jobs and maintained jobs is based on average monthly employment. Georgia counties are re-ranked
annually based on updated statistics. This credit should be claimed on Form IT-CA. An additional $500 per job is allowed for a business located within a county that belongs to a Joint Development Authority per O.C.G.A. §36-62-5.1.
The additional new full-time jobs created in the four years after the initial year shall be eligible for the credit. The credit must be
claimed within one year instead of the normal three-year statute of limitation period.
For taxable years beginning in 2020 and 2021, taxpayers that claimed the Jobs tax credit in a taxable year beginning on or after
January 1, 2019 and before December 31, 2019, have the option to utilize the number of new full-time jobs that the taxpayer
claimed in the taxable year beginning on or after January 1, 2019 and before December 31, 2019; or calculate the number of
new full-time jobs based on the number of full-time jobs created and maintained in that respective tax year.
Employer’s Credit for Purchasing Child Care Property. Employers who purchase qualified child care property will receive a credit
totaling 100% of the cost of such property. The credit is claimed at the rate of 10% a year for 10 years. Any unused credit may be carried
forward for three years and the credit is limited to 50% of the employer’s Georgia income tax liability for the tax year. Recapture provisions
Page 11

TAX CREDITS (continued)
apply if the property is transferred or committed to a use other than child care within 14 years after the property is placed in service. This
credit should be claimed on Form IT-CCC100. For more information, refer to O.C.G.A. §48-7-40.6 and Revenue Regulation 560-7-8-.38.
105	

Employer’s Credit for Providing or Sponsoring Child Care for Employees. Employers who provide or sponsor child care
for employees are eligible for a tax credit of up to 75% of the employers’ direct costs. The credit may not exceed 50% of the
taxpayer’s total state income tax liability for the taxable year. Any credit claimed but not used in any taxable year may be carried
forward for five years from the close of the taxable year in which the cost of the operation was incurred. This credit should be
claimed on Form IT-CCC75. For more information, refer to O.C.G.A.§48-7-40.6 and Revenue Regulation 560-7-8-.38.

106	 	

Manufacturer’s Investment Tax Credit. A taxpayer that has operated an existing manufacturing or telecommuni-cations facility in the state for the previous three years is allowed a credit against income tax liability. The credit is calculated on expenses directly related to manufacturing or to providing telecommunications services. Taxpayers must
apply (use Form IT-APP) and receive approval before claiming the credit on the appropriate tax return. A taxpayer may not claim the job tax credit or the optional investment tax credit when claiming this credit for the same project. Taxpayers must invest a minimum of $100,000 per project/location during the tax year in order to claim the credit.
Tier Location

		

Tax Credit

Credit for Recycling, Pollution Control or Defense Conversion Activities

Tier 1

5%

8%

Tier 2

3%

5%

Tier 3 or 4

1%

3%

For a taxpayer with a manufacturing or telecommunications facility in a rural county located in a tier 1 county or tier 2 county that has
purchased or acquired qualified investment property in a taxable year beginning on or after January 1, 2020 (which is then claimed
on an income tax return in the taxable year after the purchased or acquired taxable year), the excess investment tax credit may be
used to offset withholding. The taxpayer must receive preapproval as provided in Revenue Regulation 560-7-8-.37, to use the excess
credit against withholding. A taxpayer that has investment tax credit carry forward for qualified investment property that was purchased or acquired in a taxable year beginning before January 1, 2020, may request preapproval to use such investment tax credit
carry forward against withholding tax if certain requirements are met; this provision is repealed on December 31, 2024. The taxpayer
must receive preapproval as provided in Revenue Regulation 560-7-8-.37 to use the credit carry forward against withholding. The
total amount of tax credits preapproved to be used against withholding tax for taxpayers in rural counties located in tier 1 and tier 2
counties and for taxpayers to use investment tax credit carry forward against withholding together shall not exceed $1 million per
taxpayer per calendar year and $10 million for all taxpayers per calendar year. Credits claimed but not used may be carried forward
for 10 years from the year that the qualified investment property was acquired, provided that such property remains in service. For
taxable years beginning on or after January 1, 2025, any credits generated but not used may be carried forward for five years.

		This credit should be claimed on Form IT-IC and accompanied by the approved Form IT-APP. For more information, refer to
O.C.G.A. §§ 48-7-40.2, 40.3, 40.4 and Revenue Regulation 560-7-8-.37.
	
107 	
Optional Investment Tax Credit. Taxpayers qualifying for the investment tax credit may choose an optional investment tax
credit with the following threshold criteria:
Designated Area

Minimum Investment

Tax Credit

Tier 1

$ 5 Million

10%

Tier 2

$10 Million

8%

Tier 3 or 4

$20 Million

6%

	

Taxpayers must apply (use Form OIT-APP) and receive approval before they claim the credit on their returns. The credit may be
claimed for 10 years, provided the qualifying investment property remains in service throughout that period. For taxable years
beginning on or after January 1, 2025, any credits generated may be claimed for five years, provided the qualifying investment
property remains in service. A taxpayer must choose either the regular or optional investment tax credit. Once this election is made, it is
irrevocable. The optional investment tax credit is calculated based upon a three-year tax liability average. The annual credits are then
determined using this base year average. The credit available to the taxpayer in any given year is the lesser of the following amounts:
		
(1) 90% of the excess of the tax of the applicable year determined without regard to any credits over the base year average; or
		
(2) The excess of the aggregate amount of the credit allowed over the sum of the amounts of credit already used in the 		
	
years following the base year.
The credit must be claimed on Form IT-OIC. For more information, refer to O.C.G.A. §§48-7-40.7, 40.8, and 40.9.
109	

Low Income Housing Credit. This is a credit against Georgia income taxes for taxpayers owning developments receiving the
federal Low Income Housing Tax Credit that are placed in service on or after January 1, 2001. Credit must be claimed on Form
IT-HC and accompanied with Federal Form K-1 from the providing entity and a schedule of the building allocation. For more
information, refer to O.C.G.A. §48-7-29.6.

111 	

Business Enterprise Vehicle Credit. This credit is for a business enterprise for the purchase of a motor vehicle used exclusively
Page 12

TAX CREDITS (continued)
to provide transportation for employees. In order to qualify, a business enterprise must certify that each vehicle carries an average daily ridership of not less than four employees for an entire taxable year. This credit cannot be claimed if the low and zero
emission vehicle credit was claimed at the time the vehicle was purchased. For more information, refer to O.C.G.A. §48-7-40.22.
112	

Research Tax Credit. A tax credit is allowed for research expenses for research conducted within Georgia for any business or
headquarters of any such business engaged in manufacturing, warehousing, and distribution, processing, telecommunications,
tourism, broadcasting or research and development industries. The credit shall be 10% of the additional research expense over
the “base amount,” provided that the business enterprise for the same taxable year claims and is allowed a research credit under
Section 41 of the Internal Revenue Code of 1986. The base amount calculation is based on Georgia gross receipts. The credit
may not exceed 50% of the business’ Georgia net income tax liability after all other credits have been applied in any one year. Any
unused credit may be carried forward 10 years. For taxable years beginning on or after January 1, 2025, any credits generated but
set withholding. This credit
should be claimed on Form IT-RD. For more information, refer to O.C.G.A. §48-7-40.12 and Revenue Regulation 560-7-8-.42.

113	

Headquarters Tax Credit. Companies establishing their headquarters or relocating their headquarters to Georgia prior
to January 1, 2009 may be entitled to a tax credit if the following criteria are met: 1) At least fifty (50) headquarters jobs are
rst hire, $1 million is spent in construction, renovation, leasing, or other cost related to
subsidiary of the company. The credit is available for establishing new full-time jobs. To qualify, each job must pay a salary which
is a stated percentage of the average county wage where the job is located: Tier 1 counties at least 100%; Tier 2 counties at
least 105%; Tier 3 counties at least 110%; and Tier 4 counties at least 115%. The company has the ability to claim the credit
wage requirement or $5,000 if the average wage of all new qualifying full-time jobs is 200% or more of the average county wage
taxable year. Where the amount of such credit exceeds the taxpayer’s tax liability in a taxable year, the excess may be taken as
a credit against such taxpayer’s quarterly or monthly withholding tax. To claim the credit against withholding, a business must
le Form IT-WH as provided in the headquarters tax credit regulation or as instructed by the Commissioner. This credit should
be applied for and claimed on Form IT-HQ. For more information, refer to O.C.G.A. §48-7-40.17 before the 2009 amendments.

114	

Port Activity Tax Credit (Use 114J for Port Activity Job Tax Credit and 114M for Port Activity Investment Tax Credit).
Businesses or the headquarters of any such businesses engaged in manufacturing, warehousing and distribution, processing,
telecommunications, broadcasting, tourism, or research and development that have increased their port tra
ring the previous 12-month period by more than 10% over their base year port tra
e quali ed for increased job tax credits or investment
tax credits. “Base year port
c” means the amount of imports and exports during the second preceding 12-month period.
For example, if the taxpayer is trying to claim the credit for 2010, they would compare 2009 to 2008 and if the increase is more
than 10%, they would qualify. NOTE: Base year port tra
st be at least 75 net tons,
tainers, or 10 TEU’s. If not, the
percent-age increase in port
c will be calculated using 75 net tons, ve containers, or 10 TEU’s as the base. “Port tra
means the amount of imports and exports by way of a waterborne ship or vehicle through a port facility.
Companies must meet Business Expansion and Support Act (BEST) criteria for the county in which they are located. The tax
credit amounts are as follows for all Tiers: An additional job tax credit of $1,250 per job; investment tax credit of 5%; or optional
investment tax credit of 10%. Companies that create 400 or more new jobs, invest $20 million or more in new and expanded
ment tax: Form IT-IC or optional: Form IT-OIC) with the tax return and providing a statement with port numbers to verify the
increase in port traffic. For more information, refer to O.C.G.A. § 48-7-40.15.

115

Bank Tax Credit.
n
inancial
Institutions Business Occupation Tax Return, For
on or after January 1, 2001, a deposito
ncial institution with
a Sub Selection can pass through the credit to its shareholders on a pro rata basis. Credits claimed but not used may be carried forwa
ter January 1, 2025, any credits generated and passed down to the shareholders but not used by the shareholders may be carried forward for three years. For more information, refer to O.C.G.A. §48-7-29.7.

118

New Facilities Jobs Credit

ed in a taxable year beginning before January 1, 2009,
manufacturer

registered and authorized to use the Federal employment veri cation system known as “E-Verify” or any successor Federal
employment veri cation system and is engaged in or carrying on any business activities within this state. Retail businesses
are not included in the de nition of a business enterprise. The business enterprise must meet the job creation requirement
million in total annual of Georgia W-2 reported payroll within the six-year period. For tax years beginning on or after Janued investment property are purchased.
After an a mative review of the application by a panel, the business enterprise is rewarded with the new facilities job
Page 13

TAX CREDITS (continued)

tax credit. The credit is $5,250 per job created. The credit offsets income tax liability and any excess credit may be used to
offset withholding taxes. There is a 10-year carryforward of any unused tax credit. For applications approved on or after January 1, 2025, the taxpayer shall repay the credits received for the project if it engages in the following prohibited activities:
(1) Voluntarily grants recognition rights for employees solely and exclusively on the basis of signed labor organization
authorization cards if the selection of a bargaining representative may instead be conducted through a secret ballot
election;
(2) Voluntarily disclose an employee’s personal contact information to a labor organization, or a third party acting on
behalf of a labor organization without the employee’s prior written consent, unless otherwise required by state or federal law; or
(3) Require a subcontractor to engage in either of the two previously listed prohibited activities. For more information,
refer to O.C.G.A. §§ 48-7-40.24 and 50-7-19.
119	

Electric Vehicle Charger Credit. This is a credit for a business enterprise for the purchase of an electric vehicle charger located in the
State of Georgia. The credit is the lesser of 10% of the cost of the charger or $2,500. For more information, refer to O.C.G.A. § 48-7-40.16.

120	

New Manufacturing Facilities Property Credit. This is an incentive for a manufacturer who has operated a manufacturing facility
in this state for at least 3 years and who spends $800 million on a new manufacturing facility in this state. There is also the requirement that the number of full-time employees equal or exceed 1,800. However, these jobs do not have to be new jobs to Georgia. An
application is filed which a panel must approve. The benefit awarded to a manufacturer is a credit against taxes equal to 6 percent of
the cost of all qualified investment property purchased or acquired. The total credit allowed is $50 million. The credit offsets income
tax liability and any excess may be used to offset withholding taxes. There is a 15-year carry forward of any unused tax credit. For
taxable years beginning on or after January 1, 2025, any credits generated but not used may be carried forward for 10 years. There
are different provisions for certain high-impact aerospace defense projects. For more information, refer to O.C.G.A. §48-7-40.25.

121

Historic Rehabilitation Credit for Historic Homes. For tax years beginning January 1, 2022, and later, this Credit Code no
longer applies. Taxpayers seeking to utilize Historic Rehabilitation Credits should refer to the summaries for Code 135 and Code
149 for further information.
The following information applies to taxable years occurring before taxable year January 1, 2022:
A credit will be available for the certified rehabilitation of a historic home. Standards set by the Department of Com-munity Affairs must be met. For taxable years beginning on or after January 1, 2009, a credit not to exceed $100,000 for a historic home
will be available. For more information, refer to O.C.G.A. §48-7-29.8 and Revenue Regulation 560-7-8-.56 or the Department of
Community Affairs website.

122	

Film Tax Credit (use code 133 if the credit is for a Qualified Interactive Entertainment Production Company).
Production companies which have at least $500,000 of qualified expenditures in a state certified production may claim this credit.
Certification must be approved through the Georgia Department of Economic Development (DECD). The credit is equal to 20
percent of the base investment in the state, with an additional 10 percent for including a qualified Georgia promotion in the state
certified production. There are special calculation provisions for production companies whose average annual total production
expenditures in this state exceeded $30 million for 2002, 2003 and 2004. This credit may be claimed against 100 percent of the
production company’s income tax liability, while any excess may be used to offset the production company’s withholding taxes.
To claim the credit against withholding, the production company must file Form IT-WH as provided in Revenue Regulation 5607-8-.45. The production company also has the option of selling the tax credit to a Georgia taxpayer. For projects certified by
DECD on or after January 1, 2021, that exceed $2.5 million in credit, the production company must apply and receive an audit
under O.C.G.A. § 48-7-40.26 and Revenue Regulation 560-7-8-.45 before the credit is claimed or utilized in any manner. For
projects certified by DECD on or after January 1, 2022 that exceed $1.25 million in credit, the production company must apply
and receive an audit under O.C.G.A. § 48-7-40.26 and Revenue Regulation 560-7-8-.45 before the credit is claimed or utilized
in any manner. For projects certified by DECD on or after January 1, 2023, the production company must apply and receive an
audit under O.C.G.A. § 48-7-40.26 and Revenue Regulation 560-7-8-.45 before the credit is claimed or utilized in any manner.
For more information, refer to O.C.G.A. §48-7-40.26.

124	

Land Conservation Credit. This provides for an income tax credit for the qualified donation of real property that qualifies as
conservation land. Property donated to increase building density levels or property that will be used or is associated with the
playing of golf shall not be eligible. Taxpayers will be able to claim a credit against their state income tax liability not exceeding
25 percent of the fair market value of the property, or 25 percent of the difference between the fair market value and the amount
paid to the donor if the donation is effected by a sale for less than fair market value, up to a maximum credit of $250,000 per
individual, and $500,000 per corporation, and $500,000 per partnership. However, the partners of the partnership are subject
to the per ind