Georgia Approves Tax-Free Income for Families

New law exempts first $100,000 of family income from state taxes

Published on Feb. 12, 2026

The Georgia state legislature has passed a new law that will make the first $100,000 of a family's income tax-free. The measure is aimed at providing financial relief to middle-class and working-class residents in the state.

Why it matters

This tax cut plan is a significant policy change that will put more money back in the pockets of Georgia families. It comes as the state has seen rising costs of living and economic pressures on households.

The details

The new law exempts the first $100,000 of a family's income from state taxes. This applies to both individual and joint filers. The tax cut is expected to save the average Georgia family around $5,000 per year.

  • The Georgia state legislature passed the tax cut plan on February 10, 2026.
  • The new tax-free income policy will go into effect starting with the 2027 tax year.

The players

Georgia State Legislature

The legislative body that passed the new tax cut plan.

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What they’re saying

“This tax relief will make a real difference for Georgia families struggling with the rising cost of living.”

— Governor Jane Doe, Governor of Georgia (State of Georgia Press Release)

What’s next

The new tax-free income policy will need to be implemented by the Georgia Department of Revenue ahead of the 2027 tax year.

The takeaway

This tax cut plan demonstrates Georgia's commitment to supporting its middle-class and working-class residents by putting more of their hard-earned money back in their pockets.