Georgia Lawmakers Introduce the Overtime Income Tax Exemption Act
Apr 03, 2025
Bipartisan Bill Aims to End State Tax on First $10K of Overtime Pay
A bipartisan group of Georgia legislators have introduced House Bill 826, the Overtime Income Tax Exemption Act, designed to provide tax relief to hardworking Georgians by excluding up to $10,000 of overtime wages from state incom
e tax.
Rep. Tanya Miller (House District 62) championed the bill, saying, “Too many Georgians are working overtime just to make ends meet — from warehouse and construction workers to home health aides, restaurant staff, and security guards. These are some of the people who keep our economy running, and they deserve to keep more of what they earn. The Overtime Income Tax Exemption Act is about valuing hard work, supporting families and building an economy for all Georgians.”
The bill will allow full-time hourly employees to keep more of their earnings while incentivizing productivity and economic growth. In addition to benefiting workers, the legislation includes employer reporting requirements and a sunset clause in 2030 to ensure accountability and allow for future adjustments.
“This bill is a common-sense step to ease the stress on hardworking Georgians — including nurses, truck drivers, first responders, utility workers and grocery store clerks. By exempting up to $10,000 of overtime pay from state income tax, we’re putting more money back into the pockets of the people who power our communities every day,” added Rep. Tyler Paul Smith (House District 18).
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