Media release from the Office of Governor Brian Kemp:
ATLANTA – The State of Georgia’s net tax revenue collections in May totaled $2.35 billion, for a decrease of $339.1 million, or 12.6%, compared to FY 2025, when net tax collections totaled $2.69 billion for the month. Year-to-date, net tax revenue collections for the period ending May 31 totaled $30.8 billion, for an increase of $344.6 million, or 1.1%, compared to last year’s net collection revenue through eleven months.
Monthly comparisons were affected by the recent motor fuel tax suspension effective March 20, 2026. Net of motor fuel tax changes, revenues for the month of May were down 5.7% from the same month a year ago, while year-to-date collections remained up 1.8%. Monthly comparisons were also impacted by last year’s extension of the return and payment deadlines for both individual and corporate income taxes to May 1, 2025, due to the impacts of Hurricane Helene. With that extension shifting some collections between months, April and May are more informative when viewed together. On a combined basis, April and May net tax collections were down 1.9% overall from the same two months in 2025 and up 2.5% net of motor fuel changes.
The changes within the following tax categories help to further explain May’s overall net tax revenue decrease:
Individual Income Tax: Individual Income Tax collections totaled $1.23 billion, for a decrease of $97.7 million, or 7.4%, compared to last year when Individual Tax collections approached $1.33 billion.
The following notable components within Individual Income Tax combine for the net decrease:
- Individual Income Tax refunds issued (net of voided checks) were down $99.8 million or 48.1%.
- Individual Withholding payments increased by $8.4 million, or 0.7%, over the previous fiscal year.
- Individual Income Tax Return payments declined $163.3 million, or 59.1%, from FY 2025.
- All other Individual Tax categories, including Estimated payments, were down a combined $42.6 million.
Sales and Use Tax: Gross Sales and Use Tax collections totaled roughly $1.72 billion in May, which was an increase of $117.9 million, or 7.4%, over FY 2025. Net Sales and Use Tax increased by $36.7 million, or 4.7%, compared to last fiscal year, when net sales tax totaled $783.5 million. The adjusted Sales Tax distribution to local governments totaled $879.5 million, for an increase of $70.1 million or 8.7%, while Sales Tax refunds for May increased by $11.1 million compared to the previous fiscal year.
Corporate Income Tax: Corporate Income Tax collections for the month of May totaled $60.6 million, for a year-over-year decrease of $60.5 million, or 50%, compared to last year’s total of $121.2 million.
The following notable components within Corporate Income Tax make up the net decrease:
- Corporate Income Tax refunds issued (net of voids) increased $13.6 million, or 132% over FY 2025.
- Corporate Income Tax Return payments decreased by $34.9 million, or 56.5%, from May 2025.
- All other Corporate Tax types, including Corporate Estimated payments, were down a combined $12 million.
Motor Fuel Taxes: Motor Fuel Tax collections decreased by $196.6 million, or 99.5%, compared to FY 2025, reflecting the impact of Governor Kemp’s Executive Order suspending the motor fuel excise tax for taxpayer relief.
Motor Vehicle – Tag & Title Fees: Motor Vehicle Tag & Title Fees decreased by $1 million, or 3%, for the month, while Title Ad Valorem Tax (TAVT) collections decreased by $4.6 million, or 5.6%, from May 2025.
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