-
Overall Rank
24
Down 6 places since 2026 -
16
Down 8 places since 2026 -
16
Up 3 places since 2026 -
21
Down 1 place since 2026 -
37
Down 2 places since 2026 -
Unemployment Insurance Tax Rank
20
Up 2 places since 2026
Georgia ranks 24th overall on the 2027 State Tax Competitiveness Index.
Score 5.26 / 10
Notable Changes Georgia is singled out in the study for this year's and forthcoming changes.
In the 2027 Index
Georgia dropped from 18th to 24th in its overall ranking, driven largely by a reduction in its corporate income tax score. Georgia did not conform to the competitive corporate expensing provisions in the OBBBA, including Section 168(n), leading the state to be passed by competitors like Kansas and Oklahoma, which conformed to expensing provisions or reduced their individual income tax rates. Georgia also partially exempted tips and overtime pay from its individual income tax, narrowing the base.
Forthcoming, Not Yet Reflected
As part of a tax reform package passed this year, Georgia’s top individual income tax rate will fall by 0.125 percentage points annually if revenue thresholds are met, with the standard deduction increased on a triggered basis as well. If those tax changes are triggered, Georgia will see Index score improvements in coming years.
Snapshot date: The 2027 Index measures each state's tax law as of July 1, 2026. Changes enacted after that date are not reflected in these ranks.
About Georgia's Tax Code
Georgia’s tax code includes all major tax types. The state transitioned to a flat individual income tax in 2024 and is gradually reducing the tax rate (currently 4.99 percent), two positive developments in terms of tax competitiveness. However, the state still faces strong regional competition, as both Florida and Tennessee do not impose individual income taxes, while North Carolina has lower rates.
Since 2024, Georgia’s corporate income tax rate has been aligned with the individual income tax rate, also currently sitting at 4.99 percent. However, the state does not allow first-year expensing of capital investment and imposes a nuisance capital stock tax of up to $5,000 per year. Like many states, Georgia also taxes tangible personal property. The state offers a de minimis exemption, but it is quite low.
Georgia’s state sales tax rate is relatively low at 4 percent, but localities are authorized to impose local sales taxes, with an average rate of 3.56 percent, bringing the combined rate to 7.56 percent, which is above the national average. Georgia does not impose inheritance, estate, or gift taxes.
Component Scores
#24 overall · 5.26 / 10Each component is scored from 0 to 10, where 10 is best. Select a component for its detail page.
| Component | Rank | Score | |
|---|---|---|---|
| Corporate Taxes | #16 | 5.57 / 10 | |
| Individual Income Taxes | #16 | 5.55 / 10 | |
| Sales Taxes | #21 | 5.02 / 10 | |
| Property Taxes | #37 | 4.57 / 10 | |
| Unemployment Insurance Taxes | #20 | 5.25 / 10 |
Ranking Changes, 2020–2027
#24 in 2027 · up 3 places from 2020Georgia ranked 27th in 2020 and ranks 24th in 2027, an improvement of 3 places. The axis is zoomed to the state's range. Ranks for 2020 through 2026 are backcast under the current methodology.
Show the Table
| Year | Overall | Corporate | Individual Income | Sales | Property | Unemployment Insurance |
|---|---|---|---|---|---|---|
| 2020 | 27 (5.07) | 12 (5.53) | 33 (4.89) | 20 (4.91) | 32 (4.94) | 20 (5.22) |
| 2021 | 26 (5.11) | 13 (5.54) | 32 (4.91) | 20 (4.93) | 31 (5.06) | 20 (5.24) |
| 2022 | 29 (5.08) | 15 (5.55) | 35 (4.81) | 20 (4.96) | 32 (5.03) | 22 (5.24) |
| 2023 | 29 (5.09) | 14 (5.54) | 35 (4.92) | 21 (4.97) | 32 (4.98) | 27 (5.08) |
| 2024 | 26 (5.12) | 9 (5.68) | 38 (4.88) | 18 (5.07) | 31 (4.96) | 27 (4.99) |
| 2025 | 22 (5.26) | 8 (5.72) | 22 (5.34) | 18 (5.05) | 34 (4.82) | 23 (5.18) |
| 2026 | 18 (5.34) | 8 (5.71) | 19 (5.62) | 20 (5.04) | 35 (4.74) | 22 (5.24) |
| 2027 | 24 (5.26) | 16 (5.57) | 16 (5.55) | 21 (5.02) | 37 (4.57) | 20 (5.25) |
Georgia Compared across the States
#24 overallEach row places the states on a 0 to 10 score scale for one measure. Georgia is the large outlined dot, and the dashed line is the 50-state median, so a dot to its right scores better than the typical state. Hover over or tab to any dot for detail, and select it to open that state's profile.
Overall
#24 5.26
Corporate Taxes
#16 5.57
Individual Income Taxes
#16 5.55
Sales Taxes
#21 5.02
Property Taxes
#37 4.57
Unemployment Insurance Taxes
#20 5.25
- Georgia
- Other states, by rank (1st to 50th)
- 50-state median
Georgia and Its Neighbors
#24 overallGeorgia borders 5 states and ranks 24th overall; 3 of them rank higher and 2 rank lower.
-
Florida #4 Score 6.71 20 places better -
Tennessee #8 Score 5.99 16 places better -
North Carolina #11 Score 5.60 13 places better -
Georgia #24 Score 5.26 This state -
South Carolina #34 Score 4.99 10 places behind -
Alabama #35 Score 4.87 11 places behind
What Each Component Includes
The five components of the Index, what each one covers, and where Georgia lands. Open any component for the full breakdown.
-
Corporate Taxes
Rank #16Includes corporate income taxes and gross receipts taxes. Measures the impact of each state’s principal tax on business activities.
Full Breakdown for Georgia → -
Individual Income Taxes
Rank #16Covers the tax individuals pay on income, and with it a significant number of businesses — sole proprietorships, partnerships, and S corporations — that report their income through the individual income tax code.
Full Breakdown for Georgia → -
Sales Taxes
Rank #21Covers the general sales tax levied on the purchase price of goods and services, plus excise taxes on gasoline, diesel, tobacco, vapor products, beer, and spirits, and taxes on digital advertising.
Full Breakdown for Georgia → -
Property Taxes
Rank #37Includes taxes on real and personal property, net worth, and the transfer of assets — among them capital stock, estate, inheritance, and real estate transfer taxes.
Full Breakdown for Georgia → -
Unemployment Insurance Taxes
Rank #20Covers the taxes employers pay into the state unemployment insurance program to finance benefits for workers recently unemployed.
Full Breakdown for Georgia →
Tax Data Explorer
Every policy variable behind Georgia's 2027 scores, grouped by the report's tables, as of July 1, 2026. Its bordering states are shown alongside to start. Search the variables and values, or add up to 4 states to compare side by side.
149 data points · Shaded values differ from Georgia
Corporate Taxes: Corporate Income Tax Rates
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Bracket 1 | 4.99% > $0 | 6.5% > $0 (differs) | 5.5% > $50,000 (differs) | 2.0% > $0 (differs) | 5.0% > $0 (differs) | 6.5% > $0 (differs) |
| Gross Receipts Tax | No | No | No | No | No | Yes (differs) |
| Gross Receipts Tax Minimum Rate | n.a. | n.a. | n.a. | n.a. | n.a. | 0.02% (differs) |
| Gross Receipts Tax Maximum Rate | n.a. | n.a. | n.a. | n.a. | n.a. | 0.1875% (differs) |
| Gross Receipts Tax Rate Used in the Index | n.a. | n.a. | n.a. | n.a. | n.a. | 0.15% (differs) |
Corporate Taxes: Tax Credits and Gross Receipts Deductions
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Job Credits | Yes | Yes | Yes | No (differs) | Yes | Yes |
| Research and Development Credits | Yes | No (differs) | Yes | No (differs) | Yes | No (differs) |
| Investment Credits | Yes | Yes | Yes | No (differs) | Yes | Yes |
| Compensation Expenses Deductible | n.a. | n.a. | n.a. | n.a. | n.a. | No (differs) |
| Cost of Goods Sold Deductible | n.a. | n.a. | n.a. | n.a. | n.a. | No (differs) |
Corporate Taxes: Net Operating Losses
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Conforms to Federal NOL Treatment | Yes | No (differs) | Yes | No (differs) | Yes | No (differs) |
| Carryback (Years) | Conforms to federal treatment | 0 (differs) | Conforms to federal treatment | 0 (differs) | Conforms to federal treatment | 0 (differs) |
| Carryback Cap | Conforms to federal treatment | $0 (differs) | Conforms to federal treatment | $0 (differs) | Conforms to federal treatment | $0 (differs) |
| Carryforward (Years) | Conforms to federal treatment | 15 (differs) | Conforms to federal treatment | 15 (differs) | Conforms to federal treatment | 15 (differs) |
| Carryforward Cap | Conforms to federal treatment | Unlimited (differs) | Conforms to federal treatment | Unlimited (differs) | Conforms to federal treatment | Unlimited (differs) |
Corporate Taxes: Treatment of Capital Investment
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Section 168(k) Expensing | 0% | 100% (differs) | 14.29% (differs) | 15% (differs) | 0% | 20% (differs) |
| Conforms to Section 163(j) Limitation | No | Yes (differs) | Yes (differs) | Yes (differs) | No | No |
| GILTI Inclusion | Decouples | Decouples | Decouples | Decouples | Decouples | 5% Inclusion (differs) |
| Section 174 Expensing | Yes | Yes | No (differs) | No (differs) | No (differs) | Yes |
| Section 168(n) Expensing | No | Yes (differs) | No | No | No | No |
Corporate Taxes: Other Corporate Base Variables
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Federal Income Used as State Tax Base | Yes | Yes | Yes | Yes | Yes | Yes |
| Conformity Status | Static (current) | Rolling (differs) | Static (current) | Static (not current) (differs) | Static (not current) (differs) | Rolling (differs) |
| Allows Federal ACRS or MACRS Depreciation | Yes | Yes | Yes | Yes | Yes | Yes |
| Allows Federal Depletion | Yes | Yes | Yes | Partial (differs) | Yes | Partial (differs) |
| Throwback Rule | No | No | No | No | No | No |
| Foreign Tax Deductibility | No | Yes (differs) | Yes (differs) | No | No | Yes (differs) |
| Corporate AMT | No | No | No | No | No | No |
| Brackets Indexed for Inflation | Flat CIT | Flat CIT | Flat CIT | Flat CIT | Flat CIT | Flat CIT |
Individual Income Taxes: Individual Income Tax Rates
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Bracket 1 | 4.99% > $0 | 2.0% > $0 (differs) | No Income Tax (differs) | 3.99% > $0 (differs) | 1.99% > $0 (differs) | No Income Tax (differs) |
| Bracket 2 | n.a. | 4.0% > $500 (differs) | n.a. | n.a. | 5.21% > $30,000 (differs) | n.a. |
| Bracket 3 | n.a. | 5.0% > $3,000 (differs) | n.a. | n.a. | n.a. | n.a. |
| Standard Deduction (Single Filer) | $12,000 | $3,000 (differs) | n.a. (differs) | $12,750 (differs) | $8,350 (differs) | n.a. (differs) |
| Personal Exemption (Single Filer) | n.a. | $1,500 (differs) | n.a. | n.a. | n.a. | n.a. |
| Personal Exemption Credit (Single Filer) | n.a. | n.a. | n.a. | n.a. | n.a. | n.a. |
| Personal Exemption per Dependent | $5,000 | $1,000 (differs) | n.a. (differs) | n.a. (differs) | $4,930 (differs) | n.a. (differs) |
| Personal Exemption Credit per Dependent | n.a. | n.a. | n.a. | n.a. | n.a. | n.a. |
| Average Local Income Tax Rate | None | 0.50% (differs) | None | None | None | None |
| Surtaxes on Wage Income | n.a. | n.a. | n.a. | n.a. | n.a. | n.a. |
Individual Income Taxes: Marriage Penalty, Capital Income, Indexation
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Marriage Penalty | No | No | n.a. (differs) | No | Yes (differs) | n.a. (differs) |
| Married Couples Can File Separately on One Return | No | No | n.a. (differs) | No | No | n.a. (differs) |
| Convenience Rule | No | No | No | No | No | No |
| Interest Taxed | Yes | Yes | n.a. (differs) | Yes | Yes | n.a. (differs) |
| Dividends Taxed | Yes | Yes | n.a. (differs) | Yes | Yes | n.a. (differs) |
| Capital Gains Taxed | Yes | Yes | n.a. (differs) | Yes | Yes | n.a. (differs) |
| Combined Capital Gains Tax Rate | 4.99% | 5% (differs) | n.a. (differs) | 3.99% (differs) | 2.918% (differs) | n.a. (differs) |
| Tax Brackets Indexed for Inflation | Yes | No (differs) | n.a. (differs) | Yes | Yes | n.a. (differs) |
| Standard Deduction Indexed for Inflation | No | No | n.a. (differs) | No | No | n.a. (differs) |
| Personal Exemption Indexed for Inflation | No | No | n.a. (differs) | Yes (differs) | Yes (differs) | n.a. (differs) |
| Progressivity Ratio | 1.00 | 1.00 | n.a. (differs) | 1.00 | 1.00 | n.a. (differs) |
Individual Income Taxes: Other Individual Base Variables
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Federal Income Used as State Tax Base | Yes | No (differs) | n.a. (differs) | Yes | Yes | n.a. (differs) |
| Conformity Status | Static (current) | Rolling (differs) | n.a. (differs) | Static (not current) (differs) | Static (not current) (differs) | n.a. (differs) |
| Credits for Taxes Paid to Other States | Yes | Yes | n.a. (differs) | Yes | Yes | n.a. (differs) |
| AMT Levied | No | No | n.a. (differs) | No | No | n.a. (differs) |
| Recognition of S Corporation Status | Yes | Yes | Yes | Yes | Yes | Yes |
| Section 179 Expensing Limit | $2,560,000 | $2,560,000 | $2,560,000 | $25,000 (differs) | $1,250,000 (differs) | $2,560,000 |
| Tips | Partial | Taxable (differs) | n.a. (differs) | Taxable (differs) | Taxable (differs) | n.a. (differs) |
| Overtime | Partial | Partial | n.a. (differs) | Taxable (differs) | Taxable (differs) | n.a. (differs) |
| Filing and Withholding Threshold Index | 5.659 | 5 (differs) | 10 (differs) | 0 (differs) | 1.132 (differs) | 10 (differs) |
Individual Income Taxes: Other Individual Income Variables
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Income Recapture | No | No | n.a. (differs) | No | No | n.a. (differs) |
Sales Taxes: Sales and Excise Tax Rates
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| State Sales Tax Rate | 4.00% | 4.00% | 6.00% (differs) | 4.75% (differs) | 6.00% (differs) | 7.00% (differs) |
| Average Local Sales Tax Rate | 3.56% | 5.46% (differs) | 0.98% (differs) | 2.35% (differs) | 1.49% (differs) | 2.61% (differs) |
| Maximum Local Sales Tax Rate | 5.00% | 11.00% (differs) | 2.00% (differs) | 3.50% (differs) | 3.00% (differs) | 2.75% (differs) |
| Gasoline Tax (Cents per Gallon) | 34.05 | 31.00 (differs) | 40.10 (differs) | 41.25 (differs) | 28.75 (differs) | 27.40 (differs) |
| Diesel Tax (Cents per Gallon) | 38.05 | 32.75 (differs) | 40.97 (differs) | 41.25 (differs) | 28.75 (differs) | 28.4 (differs) |
| Cigarette Tax (Dollars per Pack of 20) | $0.37 | $0.675 (differs) | $1.339 (differs) | $0.45 (differs) | $0.57 (differs) | $0.62 (differs) |
| Beer Tax (Dollars per Gallon) | $0.48 | $0.5333 (differs) | $0.48 | $0.6171 (differs) | $0.768 (differs) | $1.2868 (differs) |
| Spirits Tax (Dollars per Gallon) | $3.79 | $22.87 (differs) | $6.50 (differs) | $18.23 (differs) | $5.42 (differs) | $4.46 (differs) |
| Vapor Tax Ratio to Cigarette Tax | 5.00% | n.a. (differs) | n.a. (differs) | 5.00% | 5.00% | 26.1667% (differs) |
Sales Taxes: Business-to-Business Exemptions
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Business Inputs | Some Taxable | Some Taxable | Some Taxable | Some Taxable | Some Taxable | Some Taxable |
| Farm Equipment | Exempt | Partial (differs) | Exempt | Exempt | Exempt | Exempt |
| Office Equipment | Taxable | Taxable | Taxable | Taxable | Taxable | Taxable |
| Manufacturing Machinery | Exempt | Partial (differs) | Exempt | Exempt | Exempt | Exempt |
| Manufacturing Raw Materials | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Business Fuel and Utilities | Partial | Exempt (differs) | Exempt (differs) | Exempt (differs) | Exempt (differs) | Partial |
| Business Leases and Rentals | Taxable | Taxable | Taxable | Taxable | Taxable | Taxable |
| Information Services | Exempt | Taxable (differs) | Exempt | Exempt | Taxable (differs) | Exempt |
| Software as a Service (SaaS) | Exempt | Taxable (differs) | Exempt | Exempt | Exempt | Taxable (differs) |
| Platform as a Service (PaaS) | Exempt | Exempt | Exempt | Exempt | Taxable (differs) | Exempt |
| Digital B2B Products | Exempt | Exempt | Exempt | Exempt | Exempt | Taxable (differs) |
| Payroll Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Data Center Purchases | Exempt | Partial (differs) | Exempt | Exempt | Exempt | Exempt |
| Digital Advertising Tax | No | No | No | No | No | No |
Sales Taxes: Consumer Goods and Services in the Base
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Groceries | Exempt | Alternate Rate (differs) | Exempt | Exempt | Exempt | Alternate Rate (differs) |
| Clothing | Taxable | Taxable | Taxable | Taxable | Taxable | Taxable |
| Prescription Medication | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Nonprescription Medication | Taxable | Taxable | Exempt (differs) | Taxable | Taxable | Taxable |
| Gasoline | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Landscaping | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Repair Services | Exempt | Exempt | Taxable (differs) | Taxable (differs) | Exempt | Taxable (differs) |
| Real Estate Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Parking | Exempt | Exempt | Taxable (differs) | Exempt | Exempt | Taxable (differs) |
| Dry Cleaning | Exempt | Exempt | Exempt | Taxable (differs) | Taxable (differs) | Taxable (differs) |
| Fitness Services | Exempt | Exempt | Taxable (differs) | Exempt | Exempt | Exempt |
| Barber Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Veterinary Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| E-Books | Taxable | Taxable | Exempt (differs) | Taxable | Exempt (differs) | Taxable |
| Streaming Video | Taxable | Taxable | Exempt (differs) | Taxable | Taxable | Taxable |
| Medical Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Legal Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Financial Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Accounting Services | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Sales Tax Holiday | No | Yes (differs) | Yes (differs) | No | Yes (differs) | Yes (differs) |
Sales Taxes: Sales Tax Structure
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Uniform Base Definitions | Yes | Yes | Yes | Yes | Yes | Yes |
| Unified Tax Administration | Yes | Partial (differs) | Yes | Yes | Yes | Yes |
| Safe Harbor for Remote Sellers | Sales or Transactions Threshold | Gross Sales Threshold (differs) | Gross Sales Threshold (differs) | Gross Sales Threshold (differs) | Gross Sales Threshold (differs) | Gross Sales Threshold (differs) |
Property Taxes: Property and Capital Stock Tax Rates
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Property Tax Collections per Capita | $1,735 | $849 (differs) | $2,003 (differs) | $1,203 (differs) | $1,579 (differs) | $921 (differs) |
| Property Tax as a Percentage of Personal Income | 2.76% | 1.48% (differs) | 2.73% (differs) | 1.83% (differs) | 2.60% (differs) | 1.39% (differs) |
| Assessment Limit | Yes | Yes | Yes | No (differs) | Yes | No (differs) |
| Levy Limit | No | No | No | No | No | No |
| Capital Stock Tax Rate | Fixed dollar payment schedule | 0.175% (differs) | None (differs) | 0.15% (differs) | 0.1% (differs) | 0.25% (differs) |
| Capital Stock Tax Maximum Payment | $5,000 | $15,000 (differs) | n.a. (differs) | Unlimited (differs) | Unlimited (differs) | Unlimited (differs) |
| Payment Options for Capital Stock and Corporate Income Taxes | Pay both | Pay both | n.a. (differs) | Pay both | Pay both | Pay both |
Property Taxes: Property Tax Bases
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Tangible Personal Property Tax | Yes | Yes | Yes | Yes | Yes | Yes |
| Tangible Personal Property De Minimis Exemption | $20,000 | $100,000 (differs) | $25,000 (differs) | None (differs) | None (differs) | None (differs) |
| Intangible Property Tax | No | Yes (differs) | No | No | No | Yes (differs) |
| Inventory Tax | Partial | No (differs) | No (differs) | No (differs) | No (differs) | No (differs) |
| Real Estate Transfer Tax | Yes | Yes | Yes | Yes | Yes | Yes |
| Split Roll | No | Yes (differs) | No | No | Yes (differs) | Yes (differs) |
| Split Roll Ratio | 1.00 | 2.00 (differs) | 1.00 | 1.00 | 1.50 (differs) | 1.60 (differs) |
| Estate Tax | No | No | No | No | No | No |
| Inheritance Tax | No | No | No | No | No | No |
| Gift Tax | No | No | No | No | No | No |
Unemployment Insurance Taxes: UI Tax Rates
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Minimum Rate | 0.04% | 0.20% (differs) | 0.10% (differs) | 0.06% (differs) | 0.06% (differs) | 0.01% (differs) |
| Maximum Rate | 8.10% | 5.40% (differs) | 5.40% (differs) | 5.76% (differs) | 5.46% (differs) | 10.00% (differs) |
| Taxable Wage Base | $9,500 | $8,000 (differs) | $7,000 (differs) | $34,200 (differs) | $14,000 (differs) | $7,000 (differs) |
| Most Favorable Schedule: Minimum Rate | 0.01% | 0.14% (differs) | 0.10% (differs) | 0.06% (differs) | 0.00% (differs) | 0.01% |
| Most Favorable Schedule: Maximum Rate | 5.40% | 5.40% | 5.40% | 5.76% (differs) | 5.40% | 10.00% (differs) |
| Least Favorable Schedule: Minimum Rate | 0.04% | 0.65% (differs) | 0.10% (differs) | 0.06% (differs) | 0.00% (differs) | 0.50% (differs) |
| Least Favorable Schedule: Maximum Rate | 8.10% | 6.80% (differs) | 5.40% (differs) | 5.76% (differs) | 5.40% (differs) | 10.00% (differs) |
| Employer Contributions as a Share of Total Wages | 0.19% | 0.09% (differs) | 0.12% (differs) | 0.28% (differs) | 0.20% (differs) | 0.15% (differs) |
| Employer Contributions as a Share of Taxable Wages | 1.07% | 0.51% (differs) | 0.83% (differs) | 0.64% (differs) | 0.73% (differs) | 0.96% (differs) |
| Trust Fund Solvency Ratio | 0.54 | 1.15 (differs) | 0.81 (differs) | 1.29 (differs) | 1.1 (differs) | 0.77 (differs) |
| New Employer Rate | 2.64% | 2.70% (differs) | 2.70% (differs) | 1.00% (differs) | 1.00% (differs) | 2.70% (differs) |
Unemployment Insurance Taxes: Experience Formulas and Charging Methods
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Experience Formula Based On | Reserve Ratio | Benefits Ratio (differs) | Benefits Ratio (differs) | Reserve Ratio | Benefits Ratio (differs) | Reserve Ratio |
| Benefits Charged in Proportion to Base-Period Wages | No (most recent or principal employer) | Yes (differs) | Yes (differs) | Yes (differs) | No (most recent or principal employer) | Yes (differs) |
| Charged If Employee's Benefit Award Is Reversed | No | No | No | Yes (differs) | No | No |
| Charged for Reimbursements on Combined Wage Claims | No | Yes (differs) | Yes (differs) | Yes (differs) | No | No |
| Charged If Employee Left Voluntarily | No | No | No | No | No | No |
| Charged If Employee Was Discharged for Misconduct | No | No | No | No | No | No |
| Charged If Employee Refused Suitable Work | No | Yes (differs) | No | Yes (differs) | No | Yes (differs) |
| Charged If Employee Continues to Work Part-Time | Yes | No (differs) | No (differs) | No (differs) | No (differs) | No (differs) |
Unemployment Insurance Taxes: Other UI Base Variables
| Variable | Georgia | Alabama | Florida | North Carolina | South Carolina | Tennessee |
|---|---|---|---|---|---|---|
| Solvency Tax | No | No | No | No | No | No |
| Taxes for Socialized Costs or Negative Balance Employers | No | Yes (differs) | No | No | No | No |
| Loan and Interest Repayment Surtaxes | No | Yes (differs) | Yes (differs) | No | Yes (differs) | Yes (differs) |
| Reserve Taxes | No | No | No | Yes (differs) | No | No |
| Surtaxes for UI Administration or Non-UI Purposes | Yes | Yes | No (differs) | No (differs) | Yes | No (differs) |
| Temporary Disability Insurance | No | No | No | No | No | No |
| Voluntary Contributions | Yes | No (differs) | No (differs) | Yes | No (differs) | No (differs) |
| Years to Qualify for Experience Rating | 3 | 3 | 2.5 (differs) | 2 (differs) | 1 (differs) | 3 |
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About the Authors
Janelle Fritts is a Senior Policy Analyst with the Tax Foundation’s Center for State Tax Policy. She is the lead researcher on the annual State Tax Competitiveness Index and serves as a resource to policymakers in their efforts to modernize and improve the structures of their state tax codes. Her work has been cited in The New York Times, the Associated Press, Bloomberg, and numerous state media outlets across the country.
Jared Walczak is a Senior Fellow at the Tax Foundation, where he spent five years as Vice President of State Projects, and president of Walczak Policy Consulting.
Nicole Fox is a Policy Analyst with the Center for State Tax Policy at the Tax Foundation, where she serves as a resource to policymakers in their efforts to modernize and improve the structure of their state tax codes.
Katherine Loughead is the Vice President of State Tax Policy at the Tax Foundation, where she oversees the state tax policy team’s research agenda and serves as a resource to policymakers in their efforts to modernize and improve the structure of their state tax codes.
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Jesse Solis is Vice President of Communications at the Tax Foundation, where he leads the communications team and works to build coverage of Tax Foundation’s experts and their work across the globe. He joined the team in 2021 as Communications Manager and became Communications Director in 2024.