Floor Action in Both Bodies this Week
This week the House and Senate passed several bills of interest to our members.
The Senate passed and the House agreed to a slight change to HB 265
by Rep. David Knight
(R-Griffin), thereby clearing the bill for Gov. Kemp’s consideration. The bill is the annual legislation that conforms the Georgia tax code to recent changes in the federal tax code. This year’s bill includes language exempting forgiveness payments from income and allowing the deductibility of certain PPP expenses. GBA supported.
Sub S / Partnership Taxation.
The House unanimously passed HB 149
by Rep. Bruce Williamson
(R-Monroe). The bill amends the Georgia tax code to give S corporations and partnerships an election to pay their Georgia state business income taxes at the entity level, thereby restoring the full federal tax deduction for Georgia business income taxes as described in IRS Notice 2020-75
. The bill is pending in the Senate Finance Committee. GBA supports.
Remote Shareholder Meetings.
The House unanimously passed HB 306
by Rep. Stan Gunter
(R-Blairsville). The bill provides that a corporation may hold annual shareholders' meetings and special shareholders' meetings by means of remote communication. The bill would apply to bank holding companies and contains permissive language like that included in the DBF housekeeping bill that applies to the bank and is now pending in the Senate Judiciary Committee. A hearing was held by the Senate Finance Committee on similar legislation, SB 168
by Sen. Larry Walker
(R-Perry). The committee favorably reported the bill, and it is pending in the Senate Rules Committee. GBA supports both bills.
Financial Institution Data Match.
The Senate passed SB 201
, a bill introduced by Sen. Chuck Hufstetler
(R-Rome) at the request of the Georgia Department of Revenue (DOR). The bill requires financial institutions to provide certain information related to delinquent taxpayers to the Department of Revenue. A data match program would be set up like the child support payments recovery system currently used by financial institutions to report on those accounts. We have been working with DOR recommending modifications to the bill and some were included in the version reported out of the Senate Finance Committee that Sen. Hufstetler chairs. We will continue to address other needed changes as the bill is considered in the House.
The House passed HB 336
by Rep. John Corbett
(R-Lake Park). The bill revises the Georgia code to conform with recent changes at the federal level so that the rules promulgated by the Georgia Department of Agriculture related to hemp farming remain in compliance with federal laws and regulations. We expect the bill will be assigned to the Senate Agriculture and Consumer Affairs Committee next week. GBA supports.
Mechanics and Materialmen Liens.
The Senate unanimously passed SB 143
by Sen. Lindsey Tippins
(R-Marietta). The bill was introduced to correct legislation passed in 2020 related to lien waivers to correct an error in legislation passed last session so that the statutory form matches legislative language. The bill is pending in the House Judiciary Committee. GBA is monitoring.
Downtown Development Authorities.
The House unanimously passed HB 161
by Rep. Jan Tankersley
(R-Statesboro). The bill removes a provision in the current statute providing perpetual existence to downtown development authorities. The bill is pending in the Senate Government Oversight Committee. GBA is monitoring.
The Senate passed SB 148
by Sen. Chuck Hufstetler
(R-Rome). The bill authorizes the creation of the Special Council on Tax Reform and Fairness for Georgians and the Special Joint Committee on Georgia Revenue Structure. GBA is monitoring.