HB 85 - Income tax; certain previously taxed income; refundable credits

First Reader Summary

A BILL to amend Article 2 of Chapter 7 of Title 48 of the Official Code of Georgia Annotated, relating to imposition, rate, and computation of income tax, so as to provide for refundable credits with respect to previously taxed income which is subsequently repaid by the taxpayer; and for other purposes.

Page Numbers - 1/ 2

Code Sections - 48-7-28.1

Recorded Votes

• Vote # 163 PASS 02/20/97

HB 85                                              LC 18 7764 
 
 
 
 
 
 
                        A BILL TO BE ENTITLED 
                               AN ACT 
 
 
  1- 1  To amend Article 2 of Chapter 7 of Title 48 of the Official 
  1- 2  Code of Georgia Annotated, relating to imposition, rate, and 
  1- 3  computation of income tax, so as to provide for refundable 
  1- 4  credits with respect to previously taxed income which is 
  1- 5  subsequently repaid by the taxpayer; to provide an effective 
  1- 6  date; to provide applicability; to repeal conflicting laws; 
  1- 7  and for other purposes. 
 
  1- 8       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: 
 
  1- 9                           SECTION 1. 
 
  1-10  Article 2 of Chapter 7 of Title 48 of the Official Code of 
  1-11  Georgia Annotated, relating to imposition, rate, and 
  1-12  computation of income tax, is amended by adding a new Code 
  1-13  section immediately following Code Section 48-7-28, to be 
  1-14  designated Code Section 48-7-28.1, to read as follows: 
 
  1-15    "48-7-28.1. 
 
  1-16    (a) If a taxpayer repays in the current tax year certain 
  1-17    amounts of income that were subject to tax under this 
  1-18    chapter in a prior year and a tax benefit would be allowed 
  1-19    under similar circumstances under Section 1341 of the 
  1-20    Internal Revenue Code, a tax benefit shall be allowed on 
  1-21    the Georgia income tax return.  The tax benefit shall be 
  1-22    the reduced tax for the current tax year due to the 
  1-23    deduction for the repaid income or the reduction in tax 
  1-24    for the prior year or years due to the exclusion of the 
  1-25    repaid income.  The reduction in tax shall qualify as a 
  1-26    refundable tax credit on the return for the current year. 
 
  1-27    (b) No credit will be allowed unless Georgia income tax 
  1-28    was actually paid in the prior year or if the taxpayer was 
  1-29    not subject to Georgia income tax." 
 
  1-30                           SECTION 2. 
 
  1-31  This Act shall become effective upon its approval by the 
  1-32  Governor or upon its becoming law without such approval and 
 
 
 
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  2- 1  shall be applicable to all taxable years beginning on or 
  2- 2  after January 1, 1997. 
 
  2- 3                           SECTION 3. 
 
  2- 4  All laws and parts of laws in conflict with this Act are 
  2- 5  repealed. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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