Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Military Retirement Tax topic
No spam. Unsubscribe anytime.
Senate Advances Measure to Exempt Military Retirement Income from State Income Tax
Summary
The Senate debated and approved language tied to House Bill 266 to exempt certain military retirement and service-related compensation from Georgia income tax; supporters framed it as a targeted tax cut for veterans while opponents flagged a multi‑million dollar fiscal impact.
The Georgia Senate advanced and approved amended language tied to House Bill 266 that exempts certain military retirement income and related compensation from state income tax.
Senators said the change is intended to help about 95,000 retired service members who live in Georgia and to make the state more attractive as a retirement destination for veterans. Supporters described the measure as a modest, targeted tax cut for veterans and noted it mirrors Senate Bill 31’s language that had previously passed the chamber.
Opponents cautioned about the bill’s fiscal impact. One senator on the floor noted a fiscal‑note range the legislature received showing a fiscal-year cost from roughly $23 million to $58 million, with many speakers citing an estimated midpoint near $40 million per year and warning that state revenues already face reductions from prior enacted measures. Supporters responded that income‑tax collections total roughly $16 billion and that the change represents a small portion of that revenue and a policy priority for the session.
Action on the floor included debate over the fiscal note and the bill’s alignment with Senate Bill 31 language. Senators also discussed programmatic goals: supporters said the change could encourage veterans to retire in Georgia and cited bipartisan support.
The substitute reported by the Senate Finance Committee (chair: Senator Huffstetler) reflected prior senate language exempting military retirement benefits. The committee offered a substitute and the Senate “perfected” House Bill 266 on the floor; the sponsor noted the substitute is substantively identical to the Senate version of SB 31.
Vote and next steps: The substitute advanced on the floor; the transcript records floor debate and committee reports in support. The transcript includes a fiscal‑note range (estimated $23 million to $58 million full fiscal year) discussed by senators on the floor. The bill’s final enrolled text and official recorded vote as sent to the Governor should be confirmed in the official Senate journal and enrolled bill text.
