Georgia has a flat income tax rate of 4.99% in 2026, applying to all taxable income. Governor Brian Kemp signed HB 463 on May 11, 2026, cutting the rate from 5.19% to 4.99% retroactive to January 1, 2026 — three years ahead of the original 2029 target. Georgia does not tax Social Security benefits and offers generous retirement income exclusions for residents 62 and older.
Quick answer: A Georgia resident earning $70,000 in 2026 pays approximately $2,745 in Georgia state income tax after the $15,000 standard deduction (4.99% on taxable income of $55,000). Georgia is moderately taxed — more favorable for retirees due to large retirement income exclusions.
Georgia Income Tax — Key Numbers (2026)
| Tax Feature | 2026 Amount |
|---|---|
| Flat income tax rate | 4.99% |
| Standard deduction — Single | $15,000 |
| Standard deduction — MFJ | $30,000 |
| Dependent deduction — per dependent | $5,000 |
| Retirement income exclusion (age 62–64) | $35,000 |
| Retirement income exclusion (age 65+) | $65,000 (rising to $70,000 in 2027) |
Confirm whether separate taxpayer/spouse personal exemptions still apply on top of the standard deduction — this changed with HB 463’s restructuring of Georgia’s deduction system, and older figures citing separate $2,700 personal exemptions should not be relied on for 2026.
Worked Tax Example — Georgia 2026
Single filer, $70,000 salary, no other income:
- Gross income: $70,000
- Standard deduction: −$15,000
- Taxable income: $55,000
- Georgia income tax: $55,000 × 4.99% = $2,745
- Effective rate on gross income: 3.9%
Married couple, $120,000 combined salary, 2 dependents:
- Standard deduction: −$30,000
- Dependent deduction ($5,000 × 2): −$10,000
- Taxable income: $80,000
- Georgia income tax: $80,000 × 4.99% = $3,992
- Effective rate on gross income: 3.3%
Georgia Retirement Income Exclusion — How It Works
Georgia is particularly tax-friendly for retirees:
| Age | Retirement Income Exclusion (2026) | Retirement Income Exclusion (2027+) |
|---|---|---|
| Under 62 | No exclusion | No exclusion |
| 62–64 | Up to $35,000 | Up to $35,000 (confirm if HB 463 changes this tier) |
| 65+ | Up to $65,000 | Up to $70,000 |
What counts as retirement income for the exclusion:
- Social Security benefits (100% excluded from Georgia tax regardless of this exclusion)
- Pension and annuity income
- IRA distributions
- 401(k) and 403(b) distributions
- Investment income (dividends, capital gains, interest)
Example (age 65, $80,000 pension + Social Security, 2026):
- Social Security: $30,000 — fully excluded by Georgia
- Pension: $50,000 — fully covered by the $65,000 retirement exclusion
- Result: $0 Georgia income tax on $80,000 combined retirement income
Georgia vs. Neighboring States Tax Comparison
| State | Top Income Tax Rate | Notes |
|---|---|---|
| Georgia | 4.99% (flat) | Generous retirement exclusions |
| Florida | 0% | No state income tax |
| South Carolina | Confirm current top rate | Brackets; retirement exclusions available |
| North Carolina | 3.99% (flat, cut from 4.25%) | — |
| Tennessee | 0% | No income tax |
| Alabama | 5% | Bracketed system |
What Georgia Does and Does Not Tax
| Income Type | Georgia Tax? |
|---|---|
| W-2 wages and salary | Yes |
| Self-employment income | Yes |
| Social Security benefits | No — fully excluded |
| Pension income (age 62–64) | Up to $35,000 excluded |
| Pension income (age 65+) | Up to $65,000 excluded (2026); $70,000 (2027+) |
| Capital gains | Yes (same 4.99% rate) |
| Interest and dividends | Yes (counts toward retirement exclusion at 62+) |
| Military retirement pay | Fully excluded for Georgia residents |
How to File Georgia State Taxes
Filing deadline: April 15, 2026 Extension deadline: October 15, 2026
Form to use: Form 500 (Georgia Individual Income Tax Return) for residents; Form 500 with Schedule 3 for part-year residents.
How to file:
- Georgia Tax Center (GTC) — file free online at gtc.dor.ga.gov
- Tax software — TurboTax, H&R Block, TaxAct all support Georgia state filing
- Free File Georgia — available for qualifying taxpayers (confirm current income limits)
- Paper mail — Form 500 mailed to Georgia DOR
Related Guides
- California State Tax 2026
- Virginia State Tax 2026
- Tax Deadline 2026
- Gift Tax Rate 2026
- Selling a Home: Capital Gains Tax
- Georgia Income Tax Guide 2026
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