| 1 | 1 | | 25 LC 59 0075ER |
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| 2 | 2 | | House Bill 407 |
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| 3 | 3 | | By: Representatives Gilliard of the 162 |
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| 4 | 4 | | nd |
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| 5 | 5 | | , Crawford of the 89 |
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| 6 | 6 | | th |
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| 7 | 7 | | , Holly of the 116 |
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| 8 | 8 | | th |
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| 9 | 9 | | , Tran of |
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| 10 | 10 | | the 80 |
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| 11 | 11 | | th |
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| 12 | 12 | | , Schofield of the 63 |
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| 13 | 13 | | rd |
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| 14 | 14 | | , and others |
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| 15 | 15 | | A BILL TO BE ENTITLED |
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| 16 | 16 | | AN ACT |
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| 17 | 17 | | To amend Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to |
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| 18 | 18 | | 1 |
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| 19 | 19 | | income taxes, so as to provide for a tax credit for costs of doing business with Georgia grown2 |
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| 20 | 20 | | hemp owners and suppliers; to provide for terms and conditions; to provide for related3 |
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| 21 | 21 | | matters; to provide for a short title; to provide for an effective date and applicability; to4 |
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| 22 | 22 | | repeal conflicting laws; and for other purposes.5 |
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| 23 | 23 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:6 |
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| 24 | 24 | | SECTION 1.7 |
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| 25 | 25 | | This Act shall be known and may be cited as the "Georgia Hemp Industry Growth and8 |
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| 26 | 26 | | Business Partnership Tax Credit Act."9 |
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| 27 | 27 | | SECTION 2.10 |
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| 28 | 28 | | Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to income taxes,11 |
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| 29 | 29 | | is amended by adding a new Code section to read as follows:12 |
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| 30 | 30 | | "48-7-29.27. |
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| 31 | 31 | | 13 |
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| 32 | 32 | | (a) For taxable years beginning on or after January 1, 2026, each taxpayer shall be allowed14 |
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| 33 | 33 | | an income tax credit against the tax imposed by this article equal to 10 percent of such15 |
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| 34 | 34 | | H. B. 407 |
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| 35 | 35 | | - 1 - 25 LC 59 0075ER |
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| 36 | 36 | | taxpayer's costs of doing business with Georgia grown hemp owners and suppliers,16 |
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| 37 | 37 | | or $100,000.00 per taxpayer, whichever is less.17 |
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| 38 | 38 | | (b) The Commissioner of Agriculture shall provide clear guidelines for the application and18 |
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| 39 | 39 | | distribution of the tax credit.19 |
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| 40 | 40 | | (c) The Commissioner of Agriculture shall provide annual reports on the status of the tax20 |
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| 41 | 41 | | credit program, including the number of applicants, the amount of tax credits issued, and21 |
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| 42 | 42 | | the impact of the tax credit on the Georgia grown hemp industry.22 |
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| 43 | 43 | | (d) Noncompliance with the provisions of this Code section may result in revocation of23 |
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| 44 | 44 | | the tax credit.24 |
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| 45 | 45 | | (e) In no event shall the total amount of any tax credit allowed under this Code section for25 |
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| 46 | 46 | | a taxable year exceed the taxpayer's income tax liability. No such tax credit shall be26 |
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| 47 | 47 | | allowed the taxpayer against prior years' tax liability. Any unused tax credit shall be27 |
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| 48 | 48 | | allowed to be carried forward to apply to the taxpayer's next five years' tax liability."28 |
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| 49 | 49 | | SECTION 3.29 |
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| 50 | 50 | | This Act shall become effective on January 1, 2026, and shall be applicable to taxable years30 |
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| 51 | 51 | | beginning on or after January 1, 2026.31 |
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| 52 | 52 | | SECTION 4.32 |
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| 53 | 53 | | All laws and parts of laws in conflict with this Act are repealed.33 |
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| 54 | 54 | | H. B. 407 |
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| 55 | 55 | | - 2 - |
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