The last of the original thirteen colonies is Georgia, the Peach State. Georgia is also known as the Empire State of the South. The state has varied terrain with mountains and natural rock in the northwest, urban areas, forest in the southern part and farmland.
There are also many points of interest that attract visitors to Georgia. In Atlanta, there are the World of Coca-Cola and the Georgia Aquarium. Stone Mountain, just north of Atlanta, is Georgia’s most popular attraction, receiving over 4 million visitors per year. Callaway Gardens, in western Georgia, is a family resort. The area is also popular with golfers.
The Golden Isles are a string of barrier islands off the Atlantic Coast of Georgia near Brunswick that include beaches, golf courses and the Cumberland Island National Seashore.
Sports play a large role in Georgia. In professional sports, the Georgia Dome in Atlanta has hosted a few Superbowls, while also supporting college championships for basketball and football. Georgia has teams in three of the major professional arenas of basketball, football and baseball. The state capital was home to the 1996 Olympic Games. The city of Augusta is known for hosting the Masters golf tournament each year.
Business Climate
Atlanta, the capital of Georgia, is a global city, an important node in the global economic system. It is also home to many large companies.
There are 15 Fortune 500 companies and 26 Fortune 1000 companies with headquarters in Georgia, including Home Depot, Coca-Cola, Delta Air Lines, Aflac, Southern Company, Anthem, Inc., Honeywell and Sun Trust Banks. Georgia is home to Hartsfield-Jackson Atlanta International Airport, one of the world’s busiest airports, measured by both aircraft traffic and passenger traffic.
Aside from the metropolitan centers in the state, farms paint the landscape of the southern part of the state. They produce peanuts, corn, and soybeans. Georgia’s agricultural outputs include poultry and eggs, pecans, peaches, cotton, peanuts, rye, cattle, hogs, dairy products, turfgrass, timber (particularly pine trees), tobacco and vegetables.
As noted in the introduction, tourism also plays a role in Georgia’s economy. Tourists are attracted to the rich history of Georgia from its origins as a colony and because of some great leaders who have shaped America today. The final resting places of Martin Luther King Jr. and Coretta Scott King are in Atlanta. The Carter Presidential Center is in Atlanta and his hometown is Plains, Georgia.
Tax Climate
Georgia’s state and local tax rates are attractive to both individuals and companies compared to other states. Georgia’s individual income tax system consists of six brackets with a top rate of 6%. The top rate ranks 19th highest among states that levy an individual income tax. Georgia’s state and local tax collections per person were $878 in 2013, which ranked 32nd highest nationally.
Georgia’s corporate income tax system consists of a flat rate of 6%. The rate ranks 32nd highest among states that levy a corporate income tax. Georgia’s state and local corporate income tax collections per person were $80 in 2013, which ranked 41st highest nationally.
Georgia levies a 4% general sales or use tax on consumers, which is below the national median of 5.95%. The average local sales tax rate is an additional 3%. Georgia’s state and local governments collect $916 per person in general sales taxes and $322 per person in excise taxes, for a combined figure of $1,239, which ranks 41st highest nationally. Georgia’s gasoline tax stands at 31.02 cents per gallon, 17th highest nationally, while its cigarette tax stands at $0.37, 48th highest nationally.
Georgia’s state and local governments collected approximately $1,011 per person in property taxes in 2013, which ranks 32nd nationally.
Tax Incentives and Credits
Tax credits provide incentives to support business growth and activities in Georgia. These include:
Job Tax Credit- Businesses in Georgia’s strategic industries can earn as much as $4,000 in annual tax savings for each new job created, for up to five years. The actual value of the job credits depends on two factors: how many jobs are created and where they are created.
Quality Jobs Tax Credit- Companies that create at least 50 jobs in a 12-month period- at wages that are at least 10 percent higher than the county average- qualify for a tax credit of $2,500 to $5,000 per job.
Port Tax Credit Bonus- Georgia companies that increase imports or exports through a Georgia port by at least 10 percent can qualify for a bonus tax credit. Two options are offered: an addition of $1,250 to the job tax credit or an adjustment in the investment tax credit.
For more information on these tax credits, please visit the Georgia State website. Or contact us! Our team at Miles Consulting Group is always available to discuss the specifics of your situation and help you navigate the complex tax structures arising from multistate operations. Call us to help you achieve the best tax efficiencies.
Random Facts
- Georgia is the largest state east of the Mississippi River in land area.
- The main headquarters of The Weather Channel is in Atlanta.
- Georgia is one of the leading states in frequency of tornadoes, though they are rarely stronger than F1.
- With a coastline on the Atlantic Ocean and its proximity to the Gulf of Mexico, the state is vulnerable to hurricanes.
- The port of Savannah is the fourth largest seaport in the United States, importing and exporting a total of 2.3 million TEUs per year. A twenty foot equivalent unit (TEU) is a unit of measure used for capacity in container transportation, as in a container ship.
- Georgia is in the top five blueberry producers in the United States.
- In 1829, gold was discovered in the North Georgia Mountains.
