Updated: Mar 3
Update: On March 3, 2021 HB 586 passed through the House. It will now move to the Senate to be voted on. Follow the progress of the bill here
Last week, the Georgia House of Representatives introduced House Bill 586, the Georgia Economic Recovery Act of 2021. House Bill 586 is sponsored by Representative Sam Watson of Moultrie. HB 586 is a package of bills containing various sales tax exemptions for items like construction materials for projects of regional significance, tickets for performances of fine arts, parts for large boat repair, and maintenance of concrete mixer trucks. Previously, the House Ways & Means Committee had passed HB 122 which is now sitting in the House Rules Committee. In HB 122, it extended the previous exemption for the maintenance of mixer trucks for another 5 years. Under the language in the Georgia Economic Recovery Act of 2021, it changes the definition of what a manufacturing plant is to account for motor vehicles that manufacture in transit. This change would also make the exemption permanent so long as Georgia manufacturers are exempt from sales taxes on equipment maintenance. HB 586 has the backing of House leadership, and our previous sponsor of HB 122, Representative John Corbett, is on board as a cosigner. The expectation is that HB 586 will be passed by the House within the next 1-2 weeks. Once it crosses over, the Senate will begin a thorough examination of the provisions in this bill and likely amend it to include some priorities of its own. We will keep you posted.
Georgia State Representative John Watson