Georgia State Taxes: Everything You Need to Know

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Almost no one feels peachy about paying taxes, but residents of Georgia have a relatively low burden to shoulder compared to many other American states. The typical Georgian ends up paying over $9,500 a year in taxes, over half of which is going to federal income taxes. Just over $4,000 of that bill is Georgia state tax, including what’s effectively a flat tax on income, an average sales tax rate of 7.15 percent and an effective property tax rate just under 1 percent.

Here’s a closer look at everything you need to know about state taxes in Georgia.

Georgia State Taxes
Rate Range of Taxes 1% to 8.9%
State Sales Tax Rate Range 6% to 8.9%
State Income Tax Rate Range 1% to 6%
State Property Tax Rate 0.957% effective rate
Estate Tax Rate Range N/A

Georgia State Income Tax

Income tax rates in Georgia do have graduated tax brackets, but the tiers are concentrated among the lowest incomes, making the Georgia tax rate a practically a flat tax of 6 percent for individuals earning more than $7,000 a year and married couples filing jointly after $10,000.

Georgia Income Tax Rates
Single Tax Rate Married Filing Jointly Tax Rate
$0 – $750 1% $0 – $1,000 1%
$750 – $2,250 2% $1,000 – $3,000 2%
$2,250 – $3,750 3% $3,000 – $5,000 3%
$3,750 – $5,250 4% $5,000 – $7,000 4%
$5,250 – $7,000 5% $7,000 – $10,000 5%
$7,000 or more 6% $10,000 or more 6%

The average Georgian ends up paying $2,734.22 a year in state income tax, but that can be much lower — or even completely eliminated — for retirees or the permanently disabled by a retirement income exclusion that overlooks the first $35,000 of income for those aged 62-64 and $65,000 for those 65 and older. This is part of why Georgia is one of the more tax-friendly states to retirees.

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Find Out: How Much Money Gets Taken Out of Paychecks in Every State

Georgia Sales Tax

The state-wide sales tax for Georgia is 4 percent, but each county also adds from 2 to 4 percent to fund local governments.

Georgia Sales Tax Rates
State-wide Rate: 4%
County Mark-ups: 2 – 4%
Highest Effective: 8.90%
L:owest Effective: 6%

The vast majority of Georgia’s 159 counties charge either an additional 3 or 4 percent, but there are some exceptions. Three Georgia counties — Cherokee, Cobb and Gwinnett — charge just an additional 2 percent for a 6 percent rate overall. The city of Atlanta also charges an additional 1 percent Municipal Option Sales Tax, bringing the rates in those portions of Dekalb and Fulton counties that are within the city limits to an 8.9 percent rate that is the highest in the state.

Like most states, though, Georgia has a variety of goods available for exemption from the sales tax, either at the point of sale or afterwards through the filing of an ST-5 form. This includes things like unprepared food no intended for consumption on the premises, among other things.

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Georgia Property Tax

Property taxes are charged at the county and city level, so they will vary depending on where you call home.

Georgia Property Tax Rates
Effective State-wide Rate: 0.957%
Highest Rate: 1.66%
Lowest Rate: 0.45%

The effective rate state-wide comes to 0.957, which costs the average Georgian $1,551.30 a year based on the median home value in the state of $157,800.

Across the state, rates range from a low of 0.45 percent in Fannin County to a high of 1.66 percent in Taliaferro County.

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Georgia Estate Tax and Georgia Inheritance Tax

The state of Georgia eliminated its estate tax effective July 1, 2014 and has no inheritance tax.

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