Georgia residents pay a flat 4.99% state income tax on CD interest in 2026, after HB 463 cut the rate from 5.19% (signed May 2026, retroactive to January 1, 2026). The best CD rates available to GA residents reach approximately 4.44% APY through FDIC-insured online banks, with local options through Georgia credit unions including Delta Community Credit Union.

Rates shown are as of September 2026 and change frequently. Verify current rates directly with the institution before opening.

Best CD Rates Available to Georgia Residents (September 2026)

Institution Type 12-Month APY Min. Deposit
Online banks (top-rate) Online 4.30–4.44% $0–$10,000
Delta Community Credit Union GA credit union 3.75–4.25% $500
LGE Community Credit Union GA credit union 3.50–4.00% $500
Robins Financial Credit Union GA credit union 3.50–4.00% $500
Ameris Bank GA regional bank 3.25–3.75% $1,000
Traditional big banks National bank 0.01–1.00% $1,000+

Georgia’s Flat Income Tax Rate on CD Interest

Georgia moved from a progressive income tax to a flat rate beginning in 2024, and the legislature has cut the flat rate further each year since. Under HB 463, the flat rate for 2026 is 4.99% for all residents, regardless of income — down from 5.19% in 2025.

After-tax yield on a 4.35% CD for a GA resident (22% federal + 4.99% GA):

  • Total marginal rate: ~26.99%
  • After-tax yield: ~3.18%

Georgia’s rate has been on a declining path (confirm the current-year rate at dor.georgia.gov, since further cuts are conditional on state revenue triggers):

  • 2025: 5.19%
  • 2026: 4.99%
  • Future years: additional 0.125-point cuts toward a 3.99% target, if revenue conditions are met

T-Bills vs. CDs for Georgia Residents

Treasury bill interest is exempt from Georgia state income tax.

12-Month CD (top rate) 1-Year Treasury
Gross yield ~4.35% ~4.37% (per Fed H.15, Sept 14, 2026)
Federal taxable Yes Yes
GA state taxable (4.99%) Yes No
After-tax yield (22% federal + 4.99% GA) ~3.18% ~3.41% (federal-only)

For Georgia residents in 2026, the Treasury’s state tax exemption gives it a modest after-tax edge over the CD at these rate levels. Recalculate using the live 1-year Treasury yield at each reinvestment decision, since it moves daily.

What $10,000 Earns at Top Available GA Rates

Term APY (top rate) Gross Interest After-Tax (22% federal + 4.99% GA)
6 months 4.25% ~$210 ~$154
12 months 4.35% ~$435 ~$318
2 years 4.35% ~$889 ~$649

Figures use the APY compounding convention: A = P(1+APY)^years.

Georgia’s Notable Credit Unions

  • Delta Community Credit Union — Atlanta-based; originally for Delta Air Lines employees, now open to many residents of the Atlanta area; consistently competitive rates
  • LGE Community Credit Union — Marietta-based; open to residents and employees in Cobb, Cherokee, Bartow, and Paulding counties
  • Robins Financial Credit Union — Warner Robins; open to Middle Georgia residents and Robins Air Force Base-affiliated individuals
  • Georgia’s Own Credit Union — Atlanta-based; open to Georgia residents through various eligibility paths
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