The number of tax credit Opportunity Zones has been increased by DCA (click here). It was announced recently that the City of Atlanta has been approved for some new zones.

This tax credit can get complex, since the local Opportunity Zone contact person, DCA, and DOR have to be in the loop for approval. If the tax credit is going to be utilized against payroll withholding taxes, another level of complexity is added.  These tax credit $$ can really add up - but proceed with caution!

While there has been significant uncertainty about tax reform and specifically the current tax credits, that situation has finally gained some clarity.  The Joint House and Senate Revenue Committee reviewed the essense of their legislation in committee meeting last week.  Their draft bills, released this week, cover some, but not all, of the recommendations from the Special Council on Tax Reform and Fairness for Georgians.  Presumably, a pared-down version would leave intact the existing Jobs, Retraining, Investment, Withholding, and other credits.    

As of this writing, several bills are in play, with HB 388 as the "current" favored substitute bill.  However it shakes out, next session we expect some updating of the credits led by the Department of Economic Development through either HB 384 or the new Georgia Competitiveness Initiative slated to launch in April.  The Competitiveness Initiative is a joint effort of the Governor's office and the Georgia Chamber of Commerce to improve the business climate of our state.  The Initiative will tackle issues of workforce development, infrastructure, incentives and tax credits to attract and retain businesses.  We will continue to work with our friends in the Legislature and at the Department of Economic Development, hopefully to improve your clients' credits and incentives.  

Remember - nothing is certain until the final day of this session (April 14) and after that, whether the governor signs (or vetoes).  We will keep you posted.  

 

Alpharesults has assembled a team with the specialized knowledge and approach required to obtain Georgia income tax credits.  We are not a public accounting firm.  Rather, our services complement those of public accounting firms and do not create conflicted loyalties, because our professionals do not perform attestation work or other external audit functions.  

We focus on small to medium-sized businesses and work exclusively in Georgia with a wide variety of in-state and out-of-state accounting firms.  For more information on our services, follow this link.