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HB375 • 2025

Income tax; exclude overtime compensation

Income tax; exclude overtime compensation

Labor Taxes
Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Smith, Tyler Paul
Last action
2025-02-12
Official status
House Second Readers
Effective date
Not listed

Plain English Breakdown

Checked against official source text during the last sync.

HB375: Excluding Overtime Pay from State Income Tax

This bill changes Georgia state income tax rules to exclude overtime compensation, requires employers to report this information, and sets up new definitions and regulations.

What This Bill Does

  • Excludes overtime compensation from being counted as taxable income under state law.
  • Requires employers to provide reports about employee wages related to the exemption.
  • Creates a legal definition for how overtime pay is treated in tax calculations.
  • Allows officials to create rules and regulations to manage these changes.
  • Removes any existing laws that conflict with this new exemption.

Who It Names or Affects

  • Georgia residents who earn state income taxes on their wages.
  • Employers in Georgia who pay overtime compensation to workers.
  • State agencies responsible for collecting and managing income tax rules.

Limits and Unknowns

  • The official text does not list the specific date when this law will take effect.
  • The bill mentions that new rules and regulations will be created, but it does not detail what those rules are yet.

Bill History

  1. 2025-02-12 Georgia General Assembly

    House Second Readers

Official Summary Text

Income tax; exclude overtime compensation