ATLANTA, Ga. — Georgia would exempt up to $35,000 a year in military retirement income from state income tax under a bill passed Monday by the state House. Representatives voted 161-0 for House Bill 1064.
The measure moves to the Senate for more debate. The state is projected to forgo an estimated $55 million to $60 million in taxes annually. Republican Gov. Brian Kemp has been backing the exemption. Supporters say it will make living in the state more attractive for military veterans.
Under the measure, a veteran's first $17,500 in retirement pay would be exempt from Georgia's state income tax. Another $17,500 of retirement pay would be exempt if a veteran earned that much from another source.