Revenue and taxation; amount of federal work opportunity credit claimed by a taxpayer shall also be allowed as a tax credit; provide

Capped hiring tax credit for Georgia employers

For tax years beginning on or after January 1, 2026, employers owing Georgia income tax can claim a hiring credit. Eligible workers must live in Georgia, belong to a federally defined targeted group, and have U.S. Department of Labor certification. Federal rules define which wages qualify. The credit matches 100% of the federal Work Opportunity Tax Credit for those wages, up to $500 per employee yearly. It cannot exceed the employer’s Georgia income tax bill or apply to earlier or later tax years. Total credits statewide are capped at $10 million each year. Employers must provide required information and keep records available for Georgia Department of Revenue inspection. If that review finds federal credit must be recovered, Georgia takes back a matching share of the state credit. Any related amended return must identify the taxpayer, the credit previously allocated, and the share to be recovered. The tax commissioner can issue rules to run the credit, and the credit law is repealed December 31, 2030.