Key figures
Georgia accounting
2026, with sources
A flat income tax and a small net worth tax, on one return
Georgia taxes C-corporations at the same flat rate as individuals: 4.99% for tax years beginning in 2026, after HB 463. The corporation also owes a net worth tax on the same Form 600, graduated up to a $5,000 maximum, with no tax at a net worth of $100,000 or less. A startup with little paid-in capital left after losses often pays nothing but must still file.
A corporation that starts doing business in Georgia files an initial net worth return; for C-corporations it is due on the 15th day of the fourth month after it incorporates or qualifies.
Single sales factor, sourced to the customer
Georgia apportions income using only gross receipts, so payroll and property in Georgia do not on their own pull income into the state. The Department of Revenue’s rules source receipts from services to where the customer receives the benefit, prorated where the benefit is received in more than one state, which for SaaS generally means the customer’s location.
Conformity with exceptions
Georgia conforms to the Internal Revenue Code as of a fixed date it updates each year. HB 1199 (2026) moved that date to federal law enacted on or before January 1, 2026, for tax years beginning on or after January 1, 2025, while decoupling from Section 174A domestic research expensing and continuing to decouple from bonus depreciation under Sections 168(k) and 168(n).
Deadlines
- 15th day of the 4th month after year end (April 15)Corporate income and net worth tax return (calendar-year C-corporation)Form 600
- 15th day of the 4th month after incorporation or qualification (C-corporations)Initial net worth return for a corporation newly doing business in GeorgiaForm 600
The federal baseline
This page covers what Georgia adds. The federal rules underneath it apply here too.
Common questions
What rate should our 2026 Georgia tax provision use?
The Department of Revenue’s corporate page still showed 5.19% when we checked, but HB 463, signed May 11, 2026, lowered the flat income tax rate to 4.99% for tax years beginning January 1, 2026, and Georgia’s corporate rate follows that rate. Further 0.125-point cuts toward 3.99% happen only if revenue targets are met.
Does Georgia follow the federal R&D expensing restored in 2025?
No. HB 1199 adopted the federal Code as of January 1, 2026 but decoupled from Section 174A, so research costs expensed on the federal return are not expensed the same way for Georgia, and bonus depreciation stays added back. Both are recurring Georgia book-tax differences.
Accounting next door
- ALAlabama accountingAlabama taxes corporations at 6.5% with a deduction for federal income tax, apportions on a single sales factor, and conforms to federal changes automatically, so it follows federal R&D expensing and bonus depreciation.
- FLFlorida accountingFlorida taxes C-corporations at 5.5% after a $50,000 exemption, apportions with double-weighted sales, and in 2026 decoupled again from federal bonus depreciation and domestic R&E expensing.
- NCNorth Carolina accountingNorth Carolina taxes C-corporations at 2.00% for 2026 on a single, market-sourced sales factor, but its 2026 conformity update decoupled from federal R&D expensing and it still adds back 85% of bonus depreciation.
- SCSouth Carolina accountingSouth Carolina taxes corporations at 5% on a single receipts factor, sources services by income-producing activity, decouples from bonus depreciation and conforms to the federal Code only through 2024.
- TNTennessee accountingTennessee taxes corporations through a 6.5% excise tax on earnings and a 0.25% franchise tax on net worth, apportioned on a single sales factor from 2025, with the property measure repealed in 2024.
Founder guides on this
- R&D taxThe R&D tax credit and Section 174A for startupsEngineering salaries can earn a federal R&D credit against payroll tax, and Section 174A lets you deduct US research again. What qualifies, what to track.
- US GAAPUS GAAP for early-stage startups, in plain EnglishAccrual accounting, revenue recognition (ASC 606), leases (ASC 842), stock compensation and capitalized software: what each means for a small company.
- The closeWhy startups should close their books every monthA monthly close turns a bank balance into numbers an investor, an auditor or a 409A firm will accept. What it is, and why it gets expensive to skip.
More of the Georgia guide
- ReceivablesReceivables and sales tax in GeorgiaSales tax registration, economic nexus, whether SaaS is taxable, and collecting from customers
- PayablesPayables and contractors in GeorgiaPaying vendors and contractors: 1099 filing, use tax, contractor tests and withholding
- PayrollPayroll taxes and employer rules in GeorgiaWithholding, unemployment insurance, paid leave, minimum wage and the rules on paydays
- ComplianceCompliance and filings in GeorgiaRegistering to do business, annual reports, franchise tax and the filing calendar
- AdvisoryAdvisory: credits and decisions in GeorgiaCredits, incentives and the decisions that are cheaper to get right the first time
Sources
Checked against each agency’s own page on . Rates and thresholds change, usually on January 1.
General information for US companies, not tax, legal or accounting advice for yours. Rules and thresholds change; confirm the specifics with a CPA or the agency before you act on them.