$500 Payments to Be Issued by One State – First Group Receives Checks in June

Georgia is putting money back into the hands of its residents this summer. Thanks to a strong budget surplus, the state is issuing one-time payments of up to $500 to eligible taxpayers. These rebates, aimed at easing financial pressure from inflation and the rising cost of living, are part of a broader tax relief effort championed by Governor Brian Kemp and passed by the state legislature earlier this year.

If you live or work in Georgia, here’s what you need to know about the payments, who qualifies, and when the money is coming.

What’s Behind the $500 Payment?

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The rebate is the result of House Bills 111 and 112, both signed into law in April 2025. Fueled by a $1 billion state budget surplus, these bills allow Georgia to return a portion of that surplus to taxpayers.

This isn’t the first time Georgia has issued surplus-driven payments, but this year’s effort is one of the largest. And unlike federal stimulus checks, this one is state-specific and tied directly to your 2023 state income tax return.

Who Is Eligible?

Eligibility is determined by several key criteria outlined in House Bill 112:

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If you requested an extension to file, you’re still eligible—just be sure to submit your return by October 15, 2025. Your rebate will be delayed but not denied.

How Much Will You Receive?

The rebate amount depends on your filing status:

Keep in mind that you won’t receive more than your 2023 state tax liability. For example, if you owed $200 in state taxes, that’s the most you’ll get—even if your filing status qualifies you for more.

When Will the Payments Arrive?

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If you filed your return by the May 1, 2025 deadline, rebates are already set to start rolling out in June 2025. The Georgia Department of Revenue will issue payments using your most recent filing method:

• Direct deposit (if that’s how you received your refund)
• Paper check (if you filed by mail or didn’t provide banking info)

Taxpayers who file after May 1 (but before the October 15 deadline) will receive their rebates later in the year.

Is the Rebate Taxable?

Good news: this rebate is not taxable. It will not count as income on your 2025 state or federal tax return, so there’s no need to set anything aside or worry about a surprise tax bill next April.

Other Tax Changes in Georgia

Alongside the rebate, Georgia is lowering its income tax rate from 5.39% to 5.19%, beginning in the 2025 tax year. This move adds another layer of relief for working families and individuals.

Governor Kemp stated:

“Here in Georgia, we safeguard every dollar of taxpayer money because we know it belongs to the people, not the government.”

This signals a broader shift in Georgia’s fiscal policy—prioritizing taxpayer refunds and lower rates over increased government spending.

Georgia’s one-time $500 rebate offers meaningful support to thousands of households just in time for summer. While it’s not a long-term solution to inflation, it’s a welcome boost that many families can use for essentials like groceries, gas, or utilities.

As rumors swirl about larger payments in the future, like $2,000 checks, it’s important to focus on what’s been officially approved. And for Georgia taxpayers, this rebate is real—and already rolling out.

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