Gov. Deal And Top Republicans Back Plan To Reduce Georgia Tax Bounty

Gov. Nathan Deal said he expects the plan to cut into the state’s estimated revenue windfall will quickly gain approval from the state Legislature.

Johnny Kauffman / WABE

Gov. Nathan Deal and top Republicans in the Legislature announced Tuesday they want to lower income tax rates for individuals and corporations in Georgia. It’s part of a plan to cut into the estimated $4.7 billion state budget windfall over the next five years, resulting from the new federal tax law.

The plan from top Republicans would double the standard deduction for Georgia taxpayers, effective January 2018; lower the state income tax rate from 6 percent to 5.75 percent, effective 2019; and set up lawmakers to lower the rate even further to 5.5 percent for 2020.

Deal said it would save taxpayers $5 billion over the next five years.