The Georgia Legislature has introduced its annual Internal Revenue Code (IRC) conformity bill—HB 821. Georgia conformity is typically updated annually to apply for the most recent tax year. In light of the recently enacted federal tax reform, this year’s conformity bill will receive particular attention because of what tax reform provisions Georgia chooses to adopt
Georgia
Georgia Senate Special Tax Exemption Study Committee Holds First Meeting
The Georgia Senate Special Tax Exemption Study Committee held its initial meeting to plan evaluation of Georgia income and sales tax exemptions by December 1, 2017.
- The special study committee was created by a Georgia Senate Resolution during the 2017 Legislative Session.
- The Committee will prioritize exemptions to evaluate, and then recommend whether to continue,
…
Georgia DOR Rules that Sales to Out-of-State Purchasers Are Subject to Sales Tax When Delivered to In-State Assembly Facility
By Chris Lutz and Andrew Appleby
In Georgia Letter Ruling SUT-2016-24, the Georgia Department of Revenue ruled that sales of software equipment delivered to a Georgia assembly facility on an out-of-state customer’s behalf were subject to Georgia sales and use tax. In the ruling, the taxpayer sold technology solutions, which were comprised of licenses of…
Maybe Next Season? Georgia Tax Bills Collapse in Last Day of Session
The Georgia General Assembly passed significant tax legislation impacting selected industries, but failed to pass a number of broader tax bills:
- Passed legislation impacts telecommunications, film production and music production companies and causes the review of all income and sales and use tax exemptions.
- Stalled legislation included the reduction of the individual income tax rate,
…
Georgia Tax Tribunal Issues Two New Decisions on Remote Seller Nexus and Georgia Tax Credit Elections
The Georgia Tax Tribunal, in its first published decisions in more than a year, held that:
- Scholastic Book Clubs has nexus in Georgia and must collect sales tax as a result of its relationship with teachers in the state; and
- In a case affording significant deference to the Department’s regulations, a taxpayer that elects to
…
Software + Services = No Tax: Bundles of Electronically-Transferred Software and Related Services Not Subject to Georgia Sales and Use Tax
By Nick Kump and Marc Simonetti
The Georgia Department of Revenue (Department) released a letter ruling stating that a taxpayer’s sales of computer software and related services were not subject to sales and use tax. The taxpayer sold bundled packages for a single price that included electronically transferred computer software with corresponding updates and upgrades…
Here’s the Deal: Georgia Governor Signs Several Significant Tax Bills
Georgia Governor Nathan Deal has signed into law several significant tax bills, affecting various Georgia tax matters, including sales and use taxes, property taxes, corporate income taxes and state tax credits, which:
- Adjust Georgia’s statutory interest rates applicable for both assessments and refunds for all tax types, as well as create new procedural requirements for
…
Georgia Keeps It Interesting: Legislature Passes Novel Law on Interest Rates and Refund Claims
On March 24, the Georgia General Assembly passed House Bill 960, which would adjust the statutory interest rate applicable to tax assessments and refunds and addresses other issues related to refund claims for Georgia sales and use taxes. H.B. 960 passed the legislature while the Georgia Department of Revenue continues to consider regulatory action that would …
Georgia Still Showing No Interest: Georgia Department of Revenue Holds Hearing on Proposed Regulation Eliminating Refund Interest for Direct Pay Permit Holders
By Hanish Patel and Jonathan Feldman
The Georgia Department of Revenue held a public hearing on a proposed regulation amendment that would materially affect the use of direct pay permits in Georgia. The proposed regulation would cause all current permits to expire on December 31, 2016, and require all current holders to reapply and agree…
For Your Health: Health-Related Information Service Not Subject to Georgia Sales and Use Tax
By Charles Capouet and Charlie Kearns
The Georgia Department of Revenue released a letter ruling stating that a taxpayer’s health-related information service was not subject to sales and use tax. The service includes a web portal to provide health information and track the user’s personal results and the in-person performance of an annual biometric health…