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Panel narrows large-project tax credit; disqualifies credits tied to workers defined as 'illegal aliens'
Summary
Senate Bill 465 would bar the large-project tax credit for employers who hire workers the law classifies as 'illegal aliens,' retain program thresholds requiring at least 1,800 full-time jobs and $600 million investment, and was amended to add a sunset (07/01/2031) and to remove language allowing credits to offset withholding; amendments were adopted and the bill passed out of committee.
Senator Gooch told the Finance Committee that SB 465 would tighten eligibility for Georgia’s large-scale project job tax credit by disqualifying credits tied to employees the statute defines as "illegal aliens." He described the program’s minimum thresholds—typically 1,800 full-time permanent jobs and $600 million in investment—and said the credit is $5,250 per qualifying employee per year.
"So that's all the bill does. It just disqualifies that tax credit if they hire an illegal," Senator Gooch said.
Committee members asked whether legal noncitizen workers or those on valid visas would remain eligible, whether subcontractors counted, and whether the credit could be used against employer withholding. Legislative counsel explained that the hearing’s added language references code section 16-11-2201 and that "illegal alien" is defined there as a person whose presence in the United States is verified by the federal government to be in violation of federal immigration law. Counsel also confirmed program mechanics are administered by the Department of Revenue, and committee members discussed carryback/carryforward and withholding interactions.
Senator Albers offered an amendment to add a sunset effective July 1, 2031, with an exception allowing businesses already in the multi-year credit process to finish their originally promised term; the committee adopted that amendment unanimously. A second amendment to strike the sentence allowing the excess credit to be taken against quarterly withholding payments was moved and carried with one member recorded as opposed. The committee then voted to pass SB 465 as amended.
The committee’s changes insert a sunset date and remove language that some members said could allow the credit to be applied against employee withholding amounts; sponsors and counsel said the bill aims to ensure credits reward lawful employment consistent with verification requirements.
