Employer’s Jobs Tax Credit
On this page find information and instructions for the statewide Employer’s Jobs Tax Credit.
- Tax Credit Code: 103
- Tax Credit Code: 157 (2025)
- Carryforward shortened to 5 years
- For jobs created and maintained January 1, 2025 and later
Summary
This credit provides for a statewide job tax credit for any business or headquarters of any such business engaged in manufacturing, warehousing and distribution, processing, telecommunications, broadcasting, tourism, research and development industries, biomedical manufacturing or services for the elderly and persons with disabilities but does not include retail businesses. If other requirements are met, job tax credits are available to businesses of any nature, including retail businesses, in counties recognized and designated as the 40 least developed counties.
| Tier Designation | County Rankings | New Jobs Created | Credit Amount |
|---|---|---|---|
| Tier 1 | 1 through 71 | 2 or more | $3,500 |
| Tier 2 | 72 through 106 | 10 or more | $2,500 |
| Tier 3 | 107 through 141 | 15 or more | $1,250 |
| Tier 4 | 142 through 159 | 25 or more | $750 |
Credits similar to the credits available in Tier 1 counties are potentially available to companies in certain less developed census tracts in the metropolitan areas of the state. Note that the average wage for each new job must be above the average wage of the county that has the lowest average wage of any county in the state. Also, employers must make health insurance available to employees filling the new full-time jobs. Employers are not, however, required to pay all or part of the cost of such insurance unless this benefit is provided to existing employees.
In Tier 1 and Tier 2 counties, the total credit amount may offset up to 100% of a taxpayer’s state income tax liability for a taxable year. In Tier 3 and Tier 4 counties, the total credit amount may offset up to 50% of a taxpayer’s state income tax liability for a taxable year. In Tier 1 counties and less developed census tracts, credits may be taken against a company’s income tax withholding. Credits for competitive projects in Tier 2, Tier 3, and Tier 4 counties may also be taken against income tax withholding.
How to Claim this Credit
To claim the credit against withholding, a business must file Form IT-WH in the manner provided in Revenue Regulation 560-7-8-.36. A credit claimed but not used in any taxable year may be carried forward for 10 years from the close of the taxable year in which the qualified jobs were established.
For taxable years beginning on or after January 1, 2025, any credits generated but not used may be carried forward for five years. The measurement of the new full-time jobs and maintained jobs is based on average monthly employment. Georgia counties are re-ranked annually based on updated statistics.
This credit should be claimed on Form IT-CA. An additional $500 per job is allowed for a business located within a county that belongs to a Joint Development Authority per O.C.G.A. §36-62-5.1. The additional new full-time jobs created in the four years after the initial year shall be eligible for the credit. The credit must be claimed within one year instead of the normal three-year statute of limitation period.
For taxable years beginning in 2020 and 2021, taxpayers that claimed the Jobs tax credit in a taxable year beginning on or after January 1, 2019 and before December 31, 2019, have the option to utilize the number of new full-time jobs that the taxpayer claimed in the taxable year beginning on or after January 1, 2019 and before December 31, 2019; or calculate the number of new full-time jobs based on the number of full-time jobs created and maintained in that respective tax year.
Forms
IT-WH Notice of Intention to Claim Withholding Benefit Paper Version