Bill > HB229

This bill proposes to amend Georgia's income tax laws to exclude certain amounts of overtime pay and cash tips from taxation for a limited period, specifically from January 1, 2026, through December 31, 2028. For qualified overtime compensation, full-time hourly employees could exclude up to $25,000 for joint filers and $12,500 for other filers, with this exemption being reduced if federal adjusted gross income exceeds certain thresholds ($300,000 for joint filers, $150,000 for others). Similarly, cash tips up to $25,000 could be excluded, with a similar reduction based on federal adjusted gross income. The bill also requires employers to report overtime compensation and cash tips received by employees, with specific reporting deadlines and the possibility of the Department of Revenue requiring additional information and adopting rules for administration. The bill defines "cash tips" and "occupation that customarily and regularly receives tips" by referencing federal definitions, while excluding occupations listed in Section 63 of the Internal Revenue Code. Finally, the bill repeals any conflicting laws.