On July 17, Lt. Gov. Burt Jones announced the creation of the Georgia Senate Committee on Eliminating Georgia’s Income Tax. Their task: figuring out how the state moves from our current income tax rate of 5.19% to zero.
Besides being good politics — after all, what voter enjoys paying taxes? — lowering the income tax rate significantly is becoming increasingly imperative policy.
While Tennessee and Florida have long been held up as the gold standard in the Southeast for their lack of a state income tax, it’s what our other neighbors have been doing lately that has state legislators considering how to aggressively lower Georgia’s income tax rate.
On one hand, the past three years have already been a positive for Georgia taxpayers. In 2022, the state adopted a flat tax of 5.49%, which was scheduled to take effect in 2024. That was a substantial change from the previous structure of six brackets that topped out at 5.75%. However, before those tax bills ever came due, Gov. Brian Kemp and state legislators proactively lowered the rate to 5.39%.
This year’s legislative session resulted in the rate dropping even lower to 5.19%, retroactive to January 1, 2025. Thanks to financial “triggers” put in these legislative packages, the income tax rate can potentially be lowered further to 4.99% if the state maintains its economic growth.
It’s well known that Florida and Tennessee do not have an income tax, nor does fellow SEC state Texas. But our Southern counterparts like North Carolina, South Carolina, Mississippi and Louisiana continue to apply pressure with lower taxes. This week’s commentary looks at Georgia’s quest to become income tax free.
Have a great weekend,
– Kyle Wingfield
Friday’s Freshest 🗞️
Why Georgia needs regulatory reform
In this year’s legislative session, Georgia had an opportunity to address its ever-growing regulatory code and reduce regulatory burdens placed on its citizens and businesses. Although the “Red Tape Rollback Act” passed the Senate, it ultimately failed to become law in Georgia. Regulatory reform will have another chance next session, and for good reason.
Look for the migration from New York to only grow
Much has been written about America’s largest city edging closer to electing a socialist mayor. But if Zohran Mamdani is indeed successful in implementing his policy ideas, expect one noticeable trend to continue and likely grow: the number of people leaving New York for greener pastures. While we may criticize bad ideas or bad policy, that’s the beauty of the American federalist system. And for years, Georgia has been on the receiving side of migration from New York.
Georgia’s conservative budgeting pays off, literally
The state government operates under a balanced budget requirement, so there is no deficit spending a la Washington. Still, the state historically has issued bonds to pay for infrastructure projects, from bridges to new college classrooms. Lately, however, it has eschewed even that borrowing – to the benefit of taxpayers. The budget year that begins July 1 will be the third straight with no “bond package,” as that section is typically called. Instead, over the course of three years the state has paid cash for projects totaling $3.45 billion.
6 ways state policy affected your wallet in 2025
Georgia’s 2025 fiscal year will be remembered less for a single marquee bill than for a constellation of measured, taxpayer-focused changes that added up to real relief. Some of the savings recently arrived in bank accounts; others showed up as lower withholding amounts, education assistance or costs citizens never had to absorb.
Homeschooling support for military families: A new opportunity for Georgia
The U.S. Department of Defense recently announced a formal review of how it supports military families who choose to homeschool their children—a move that could significantly benefit Georgia’s large and growing population of service members. The review signals a broader recognition in Washington of what military families have known for years.
Peach Picks 🍑
Gov. Brian Kemp announced this week that the Technical College System of Georgia and the University System of Georgia have signed an articulation agreement. The deal allows nursing students in TCSG’s associate degree programs to transfer directly into participating USG institutions to complete a Bachelor of Science in Nursing.
King’s Hawaiian will invest approximately $54 million to expand its Oakwood facility in Hall County, creating more than 135 new jobs. King’s Hawaiian first established operations in Georgia in 2010. Since then, the company has grown its local workforce to more than 800
A Georgia House study committee on K-12 school attendance is examining why students miss school and how to address it. If chronic absenteeism decreased among third graders by just 5%, ELA scores would improve from 38.4% to 45%, according to research from the Atlanta Regional Commission.
Atlanta-based Coca-Cola confirmed this week it will launch a cane sugar version of its iconic drink in the U.S. amid President Trump’s “enthusiasm,” coming less than a week after the president revealed the change on social media.
Critics of the One Big Beautiful Bill Act claim that, because it would slow the growth of federal Medicaid spending from 4.5% to 2.7% annually, thousands will die. Yet evidence for this is wanting. If Medicaid were a drug, the federal government wouldn’t approve it—and could penalize its salesmen with prison time for claiming it saves lives.
Off The Vine 🎯
The Piggly Wiggly supermarket that has anchored a small Wilkinson County community for decades will close its doors Aug. 16, citing financial reasons. The iconic grocer with a famous logo first opened in 1916. Of the approximately 500 locations in the United States, 64 are in Georgia.
Quotes Of Note 🌟
“Anyone who’s ever filed a tax return or visited the Department of Motor Vehicles understands that government does two things well: spend our money and waste our time.” – Edwin J. Feulner, 1941-2025
“Happiness isn’t found in some finite checklist of goals that we can diligently complete and then coast. It’s how we live our lives in the process. That’s why the four pillars of happiness are faith, family, community and meaningful work. Those are priorities we have to keep investing in.” – Arthur Brooks
“Give me six hours to chop down a tree and I will spend the first four sharpening the axe.” – Abraham Lincoln