The session produced meaningful wins in tax relief, regulatory reform, permitting, and legal protections, while stopping or slowing some proposals that would have added new costs.

“Overall, the session produced several meaningful wins for Georgia’s small business community,” NFIB State Director Hunter Loggins said. “We stayed focused on reducing red tape, improving the business climate, and pushing back on policies that make it harder to own and operate a small business.”

Tax Relief and Economic Growth

Lawmakers approved a major income tax package that lowers the state’s flat tax rate to 4.99% in 2026, with additional cuts tied to future revenue targets. The plan also increases standard and dependent deductions and includes limited relief for overtime and tips.

A separate measure provides a one-time state income tax refund.

After an earlier proposal failed, lawmakers passed SB 33, which creates a statewide base-year homestead exemption while allowing local governments to adopt a 1% sales tax to offset the change, subject to voter approval.

Cutting Red Tape and Improving Permitting

Several NFIB-backed reforms targeted regulatory burdens and permitting delays.

Senate Bill 447 helps small businesses by requiring written reasons for permit denials, setting deadlines for application review, and requiring permit-status dashboards in high-volume jurisdictions.

Another bill, House Bill 1247, will help reduce red tape for small businesses reducing unnecessary regulatory burdens and increasing accountability in state government. The measure also strengthens oversight of the rulemaking process by requiring agencies to consider the economic impact of new regulations on small businesses and encouraging them to reduce red tape whenever possible.

“These reforms help bring more transparency and accountability to state government,” Loggins said.

Legal and Insurance Reforms

Also included in House Bill 1247 is a provision that ends judicial deference to state agency interpretations and requires ongoing review of regulations for cost and impact.

In addition, lawmakers passed a measure aimed at reducing abusive ADA website accessibility lawsuits that can be costly for small businesses.

Efforts to create new health benefit tax credits for small businesses in order to attract employees failed to pass. However, lawmakers approved measures to support workforce development, including portable benefits options for independent contractors, workforce-ready education curriculum, and improvements to Georgia’s apprenticeship program.

Looking Ahead

NFIB was actively engaged throughout the session in support of policies that reduce costs and improve the operating environment for small businesses. We’ll keep you informed as new laws take effect.