25 LC 49 2127
Senate Bill 87
By: Senators Setzler of the 37th, Kirkpatrick of the 32nd, Robertson of the 29th, Gooch of
the 51st, Summers of the 13th and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 13 of Title 44 of the Official Code of Georgia Annotated, relating to
1
exemptions from levy and sale of property, so as to provide for the exemption of the full2
value of a debtor's primary residence from levy and sale by virtue of any process whatever3
under the laws of this state; to provide for the exemption, for purposes of bankruptcy, of the4
full value of a debtor's aggregate interest in his or her primary residence; to provide for5
related matters; to provide an effective date; to repeal conflicting laws; and for other6
purposes.7
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8
SECTION 1.9
Chapter 13 of Title 44 of the Official Code of Georgia Annotated, relating to exemptions10
from levy and sale of property, is amended by revising Code Section 44-13-1, relating to11
amount of exemption, who may claim exemption, and what charges enforceable, as follows:12
"44-13-1.13
Except as otherwise provided in this article, there shall be exempt from levy and sale by14
virtue of any process whatever under the laws of this state any real or personal property or15
both of a debtor in the amount of $5,000.00 or $21,500.00 for
the full value of real or16
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personal property that is the debtor's primary residence. No court or ministerial officer in
17
this state shall ever have jurisdiction or authority to enforce any judgment, execution, or18
decree against property set apart under this Code section, including such improvements as19
may be made thereon from time to time, except for taxes, for the purchase money of the20
property, for labor done on the property, for material furnished for the property, or for the21
removal of encumbrances on the property."22
SECTION 2.23
Said chapter is further amended in Code Section 44-13-100, relating to exemptions for24
purposes of bankruptcy and intestate insolvent estates, by adding a new subsection to read25
as follows:26
"44-13-100.27
(a) In lieu of the exemption provided in Code Section 44-13-1, any debtor who is a natural28
person may exempt, pursuant to this article, for purposes of bankruptcy, the following29
property:30
(1) The debtor's aggregate interest, not to exceed $21,500.00 in value, in real property31
or personal property that the debtor or a dependent of the debtor uses as a residence, in32
a cooperative that owns property that the debtor or a dependent of the debtor uses as a33
residence, or in a burial plot for the debtor or a dependent of the debtor. In the event title34
to property used for the exemption provided under this paragraph is in one of two spouses35
who is a debtor, the amount of the exemption hereunder shall be $43,000.00;36
(2) The debtor's right to receive:37
(A) A social security benefit, unemployment compensation, or a local public assistance38
benefit;39
(B) A veteran's benefit;40
(C) A disability, illness, or unemployment benefit;41
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(D) Alimony, support, or separate maintenance, to the extent reasonably necessary for
42
the support of the debtor and any dependent of the debtor;43
(E) A payment under a pension, annuity, or similar plan or contract on account of44
illness, disability, death, age, or length of service, to the extent reasonably necessary for45
the support of the debtor and any dependent of the debtor;46
(F) A payment from an individual retirement account within the meaning of Title 2647
U.S.C. Section 408 to the extent reasonably necessary for the support of the debtor and48
any dependent of the debtor; and49
(G) Moneys paid into or out of, the assets of, and the income of a health savings50
account or medical savings account authorized under Chapter 51 of Title 33 or Sections51
220 and 223 of the Internal Revenue Code of 1986.52
(2.1) The debtor's aggregate interest in any funds or property held on behalf of the53
debtor, and not yet distributed to the debtor, under any retirement or pension plan or54
system:55
(A) Which is:56
(i) maintained
Maintained for public officers or employees or both by the State of57
Georgia or a political subdivision of the State of Georgia or both; and58
(ii) financially Financially supported in whole or in part by public funds of the State59
of Georgia or a political subdivision of the State of Georgia or both;60
(B) Which is:61
(i) maintained Maintained by a nonprofit corporation which is qualified as an exempt62
organization under Code Section 48-7-25 for its officers or employees or both; and63
(ii) financially Financially supported in whole or in part by funds of the nonprofit64
corporation;65
(C) To the extent permitted by the bankruptcy laws of the United States, similar66
benefits from the private sector of such debtor shall be entitled to the same treatment67
as those specified in subparagraphs (A) and (B) of this paragraph,68
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provided that the exempt or nonexempt status of periodic payments from such a
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retirement or pension plan or system shall be as provided under subparagraph (E) of70
paragraph (2) of this subsection; or71
(D) An individual retirement account within the meaning of Title 26 U.S.C. Section72
408;73
(3) The debtor's interest, not to exceed the total of $5,000.00 in value, in all motor74
vehicles;75
(4) The debtor's interest, not to exceed $300.00 in value in any particular item, in76
household furnishings, household goods, wearing apparel, appliances, books, animals,77
crops, or musical instruments that are held primarily for the personal, family, or78
household use of the debtor or a dependent of the debtor. The exemption of the debtor's79
interest in the items contained in this paragraph shall not exceed $5,000.00 in total value;80
(5) The debtor's aggregate interest, not to exceed $500.00 in value, in jewelry held81
primarily for the personal, family, or household use of the debtor or a dependent of the82
debtor;83
(6) The debtor's aggregate interest, not to exceed $1,200.00 in value plus any unused84
amount of the exemption, not to exceed $10,000.00, provided under paragraph (1) of this85
subsection, in any property;86
(7) The debtor's aggregate interest, not to exceed $1,500.00 in value, in any implements,87
professional books, or tools of the trade of the debtor or the trade of a dependent of the88
debtor;89
(8) Any unmatured life insurance contract owned by the debtor, other than a credit life90
insurance contract;91
(9) The debtor's aggregate interest, not to exceed $2,000.00 in value, less any amount of92
property of the estate transferred in the manner specified in Section 542(d) of U.S. Code93
Title 11, in any accrued dividend or interest under, or loan or cash value of, any94
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unmatured life insurance contract owned by the debtor under which the insured is the
95
debtor or an individual of whom the debtor is a dependent;96
(10) Professionally prescribed health aids for the debtor or a dependent of the debtor; and97
(11) The debtor's right to receive, or property that is traceable to:98
(A) An award under a crime victim's reparation law;99
(B) A payment on account of the wrongful death of an individual of whom the debtor100
was a dependent, to the extent reasonably necessary for the support of the debtor and101
any dependent of the debtor;102
(C) A payment under a life insurance contract that insured the life of an individual of103
whom the debtor was a dependent on the date of such individual's death, to the extent104
reasonably necessary for the support of the debtor and any dependent of the debtor;105
(D) A payment, not to exceed $10,000.00, on account of personal bodily injury, not106
including pain and suffering or compensation for actual pecuniary loss, of the debtor107
or an individual of whom the debtor is a dependent; or108
(E) A payment in compensation of loss of future earnings of the debtor or an individual109
of whom the debtor is or was a dependent, to the extent reasonably necessary for the110
support of the debtor and any dependent of the debtor.111
(a.1) Notwithstanding any provision of this Code section or Code Section 44-13-21 to the
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contrary, and without waiving any exemption allowed by Code Section 44-13-1, any debtor113
who is a natural person may exempt, pursuant to this article, for purposes of bankruptcy,114
the debtor's aggregate interest, not to exceed the full value, in real property or personal115
property that the debtor uses as a primary residence or in a cooperative that owns property116
that the debtor uses as a primary residence.117
(b) Pursuant to 11 U.S.C. Section 522(b)(1), an individual debtor whose domicile is in118
Georgia is prohibited from applying or utilizing 11 U.S.C. Section 522(d) in connection119
with exempting property from his or her estate; and such individual debtor may exempt120
from property of his or her estate only such property as may be exempted from the estate121
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pursuant to 11 U.S.C. Section 522(b)(2)(A) and (B). For the purposes of this subsection,
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an 'individual debtor whose domicile is in Georgia' means an individual whose domicile123
has been located in Georgia for the 180 days immediately preceding the date of the filing124
of the bankruptcy petition or for a longer portion of such 180 day period than in any other125
place.126
(c) The exemptions and protections contained in this article are extended to intestate127
insolvent estates in all cases where there is a living widow or child of the intestate.128
(d)(1) At any time after closing of a case filed pursuant to an act of Congress relating to129
bankruptcy, the debtor, his or her receiver or trustee, or any interested party may file with130
a clerk of court where a judgment lien is recorded an affidavit of lien release and shall131
attach thereto a certified copy of the discharge of such bankrupt or debtor and a lien132
avoidance order, or a certified copy of the order of confirmation of a plan and the plan133
as confirmed, together with a copy of the portions of the schedules filed by the debtor in134
the bankruptcy case listing the judgment creditor and identifying property as exempt. In135
addition, the filer shall certify that no order has been entered in the bankruptcy limiting136
the discharge as to the judgment or retaining the judgment lien.137
(2) Upon filing such affidavit, the lien of such judgment shall be deemed cancelled as138
to:139
(A) Any property which was:140
(i) Identified as exempt and for which a lien avoidance order was issued; or141
(ii) Re-vested in the debtor without lien retention under a plan; and142
(B) Any other property acquired by the debtor after the filing of the bankruptcy143
petition.144
(3) The clerk of court shall file such affidavit in the deed records and index the recording145
information as to the affidavit of lien release on the judgment lien in the appropriate lien146
record."147
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SECTION 3.
148
This Act shall become effective on July 1, 2025.149
SECTION 4.150
All laws and parts of laws in conflict with this Act are repealed.151
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