Georgia Conformity Bill Update: SB 328 GILTI is Now Excluded from Georgia Taxable Income

By Tim Clancy

Previously, we reported under HB 918, Georgia's 2018 Conformity Bill, Georgia would continue to allow a subtraction for foreign sourced dividends and Subpart F income, however, the 2018 Conformity Bill specifically excluded income specified in IRC §951A, related to Global Intangible Low-Taxed Income (GILTI), as a deduction from Georgia taxable income. However, on March 27, 2018, Governor Deal signed SB 328 to exclude GILTI from Georgia taxable income. SB 328 specifically provides that Subpart F income includes GILTI for purposes of the deduction under OCGA § 48-7-21(b)(8). Treatment of GILTI under SB 328 is similar to and in line with Georgia's long-standing treatment of foreign sourced dividends and subpart F income.
 
The provisions will take effect for tax years beginning January 1, 2018.
 
The original Georgia conformity update can be found at https://www.windhambrannon.com/news/georgia-enacts-federal-income-tax-conformity-legislation
 
Tim Clancy
State and Local Tax
tclancy@windhambrannon.com
678.510.2804
 
Nicole Suk
International Tax
nsuk@windhambrannon.com
678.510.2785
 
Brandi M. Samuel
International Tax
bsamuel@windhambrannon.com
678.510.2734