Georgia Sales Tax Guide 2025: A Comprehensive Overview

Are you navigating the complexities of Georgia's taxation system? Whether you’re a resident, business owner, or planning a move to the Peach State, understanding how to manage Georgia’s taxes is essential to save time and money. This guide will walk you through everything you need to know about Georgia’s state taxes, including sales, use, excise, and filing requirements.

Sales Tax Georgia

Georgia sales tax law, enacted in 1951, establishes a statewide rate of 4%, with local rates varying by jurisdiction. Sales tax in Georgia applies to tangible goods and certain services, while the Georgia sales and use tax ensures compliance for out-of-state purchases and remote sellers.

Georgia Sales Tax Rate

Georgia’s base sales tax rate is 4.0%, with additional local taxes varying by jurisdiction, resulting in a total sales tax range of 4.0% to 9.0%.

Jurisdiction	Sales tax rate
State Tax	4.00%
County Tax	0% – 2.50%
City Tax	0% – 2.50%
Special Tax	0.00%
Combined Tax	4.00% – 9.00%

For more information on city-based tax rates in Georgia check out Kintsugi’s City Level Sales Tax Guides.

Georgia Sales Tax Calculator

Imagine you own a retail store in Atlanta, Georgia, where the total sales tax rate (state + local) is 8.9%. You’re selling a piece of furniture for $500, and you need to calculate the sales tax and total amount due from the customer.

Step 1: Determine the Total Sales Tax Rate

Sales tax in Georgia is the sum of the state rate (4%) and the local rate.

In this example:

• State Sales Tax Rate: 4%
• Local Sales Tax Rate in Atlanta: 4.9%
• Total Sales Tax Rate: 4% + 4.9% = 8.9% (or 0.089 in decimal form).

Step 2: Calculate the Sales Tax

Use the formula for calculating sales tax:

Sales Tax = Item Price × Total Sales Tax Rate

Plug in the values:

Sales Tax = 500 × 0.089 = 44.50

The sales tax on the $500 item is $44.50.

Step 3: Calculate the Total Price

Add the sales tax to the original price of the item to determine the total amount the customer will pay:

Total Price = Item Price + Sales Tax

Total Price = 500 + 44.50 = 544.50

Final Answer:

The total price of the furniture, including sales tax, is $544.50.

Additional Considerations:

1. Local Tax Variations: If the item is sold or delivered to a different county or city in Georgia, the local tax rate might change. Use the Georgia Department of Revenue Sales Tax Rate Finder to confirm the rate for a specific location.
2. Exemptions: Certain items, like prescription drugs and some medical devices, are exempt from sales tax in Georgia.
3. Remote Sales: For online businesses selling to Georgia customers, calculate sales tax based on the customer’s location if the economic nexus threshold of $100,000 or 200 transactions annually is met.

By following this step-by-step process, businesses can ensure accurate sales tax calculations, manage potential refunds, and maintain compliance with Georgia tax regulations.

FAQ on Sales Tax in Georgia

What is the Sales Tax Rate in Georgia?

The total sales tax rate in Georgia ranges from 4% to 9%, depending on local jurisdiction rates added to the state’s base rate.

What is Georgia State Sales Tax Rate?

The Georgia state sales tax rate is 4%, with additional local taxes of up to 5% depending on the location.

How to Calculate Sales Tax for Georgia?

Multiply the item price by the combined state and local sales tax rate. For example, at an 8% rate, a $100 item would incur $100 × 0.08 = $8 in sales tax.

Sales Tax Nexus in Georgia

Georgia’s base sales tax rate is 4%, with businesses required to register for sales tax collection if they meet specific nexus thresholds or engage in taxable sales in the state.

Effective Date	Threshold	Includable Sales (Gross, Retail, or Taxable)	When You Need to Register
January 1, 2020	$100,000 in gross sales or 200 transactions annually	Retail Sales	Upon exceeding the threshold in the current or previous calendar year.
Ongoing	Any physical presence in Georgia	Retail and Taxable Sales	Immediately upon establishing physical presence, such as an office, warehouse, or employees.

FAQ on Sales Tax Nexus in Georgia

What are the Nexus Rules for Sales Tax in Georgia?

Georgia requires businesses to collect sales tax if they have a physical presence (e.g., office, employees, or inventory) or meet the economic nexus threshold of $100,000 in gross sales or 200 transactions annually, and may benefit from a streamlined sales tax process to simplify compliance.

What is the Nexus for Sales Tax in Georgia?

Nexus in Georgia is established through physical presence or economic activity, requiring businesses meeting these criteria to register, collect, and remit sales tax.

Georgia Sales Tax Exemptions​

Georgia offers a variety of sales tax exemptions to support businesses, nonprofits, and individuals in specific industries. These exemptions apply to qualifying purchases such as agricultural equipment, manufacturing supplies, and certain nonprofit activities.

Category	Exemption Description
Agricultural Equipment	Farm machinery and equipment used in production agriculture are exempt from sales tax.
Manufacturing Equipment	Machinery and materials used directly in manufacturing or industrial processing are tax-exempt.
Nonprofit Organizations	Qualified nonprofit organizations may claim exemptions for purchases related to their mission.
Prescription Drugs	Prescription medications and certain medical devices are exempt from sales tax.
Energy Used in Manufacturing	Energy consumed directly in manufacturing processes is tax-exempt.
Educational Institutions	Supplies and materials purchased by qualifying educational institutions are exempt.
Government Purchases	Sales to federal, state, and local government entities are tax-exempt.

FAQ on Sales Tax Exemptions in Georgia

What Services are Exempt from Sales Tax in Georgia?

Certain services in Georgia are exempt from sales tax, such as medical, legal, and educational services. For a full list of taxable and exempt services, visit the Georgia Department of Revenue.

What Items are Exempt from Sales Tax in Georgia?

Georgia exempts items like prescription drugs, medical devices, agricultural equipment, and raw materials used in manufacturing. For a comprehensive list, check out this blog on Georgia sales tax exemptions and the official Georgia Department of Revenue exemptions page.

What is the Georgia Sales Tax Digital Products?

Digital products in Georgia, such as eBooks, music downloads, and software, are generally subject to sales tax unless they are specifically exempt. Learn more in this blog on Georgia sales tax for digital products.

Is there a Georgia Clothing Sales Tax?

Yes, clothing in Georgia is subject to the state’s base sales tax of 4% and any applicable local taxes, as it is not exempt, and shipping charges may also be subject to sales tax. For more information, visit this blog on Georgia clothing sales tax.

How to Apply for Sales Tax Exemption in Georgia?

To apply for a sales tax exemption, submit a completed ST-5 Sales Tax Certificate of Exemption form through the Georgia Department of Revenue. Include any supporting documents to verify eligibility.

What is Exempt from Sales Tax in Georgia?

Exemptions in Georgia include prescription medications, certain medical devices, agricultural machinery, and items used in manufacturing processes. Refer to the Georgia Department of Revenue exemptions list for full details.

Is there Sales Tax on Digital Goods in Georgia?

Yes, most digital goods, including software and streamed content, are taxable in Georgia unless specifically exempt. Learn more about this in our blog on Georgia digital goods taxation.

Does Georgia have Sales Tax on Clothing?

Yes, Georgia applies sales tax to clothing, with rates varying by jurisdiction. Clothing is not exempt from the 4% state tax or local taxes.

Georgia Sales Tax Filing

Georgia businesses, participating in the streamlined sales tax initiative, must file sales tax returns based on their assigned filing frequency. Filings can be completed online through the Georgia Tax Center.

What are the Georgia Sales Tax Filing Requirements​?

Georgia businesses must file returns monthly, quarterly, or annually depending on their total sales volume. Returns are submitted through the Georgia Tax Center, and timely filing is mandatory.

Do I have to File Sales Tax in Georgia?

Yes, if your business has a sales tax obligation in Georgia, you must file returns based on the reporting frequency assigned by the Georgia Department of Revenue.

How Often do I Need to File Sales Tax in Georgia?

Filing frequency depends on your business's taxable sales volume. High-volume businesses typically file monthly, while smaller businesses may file quarterly or annually.

How can I Apply for Georgia Sales Tax Registration?

Registering for a sales tax permit in Georgia is essential for businesses selling taxable goods or services in the state. The Georgia Department of Revenue provides an easy-to-use online platform to complete your sales tax registration.

1. Visit the Georgia Tax Registration Page: Go to the Georgia Department of Revenue Tax Registration page. Select "Register a New Business" to begin the registration process.
2. Create an Account on the Georgia Tax Center (GTC): If you’re a first-time user, click on the “Sign Up” button to create an account. Provide your email address, set a secure password, and verify your email.
3. Log In to Your Georgia Tax Center Account: Once your account is created, log in using your credentials. The dashboard will display various options for managing your tax obligations.
4. Select Sales and Use Tax Registration: On the dashboard, click on “Register for Taxes” or "Register a New Business." Choose "Sales and Use Tax" from the list of available tax types.
5. Provide Business Information
   • Business name and legal structure (e.g., LLC, corporation, sole proprietorship)
   • Federal Employer Identification Number (FEIN) or Social Security Number (SSN) for sole proprietors
   • Business address and contact details
   • Description of taxable goods or services sold
   • Start date of taxable activities in Georgia.
6. Add Additional Locations (if applicable): If your business operates in multiple locations, provide the addresses for all physical sites where sales take place in Georgia.
7. Review and Submit the Application: Carefully review the information entered to ensure accuracy. Submit your application through the Georgia Tax Center.
8. Receive Your Sales Tax Number: After your application is reviewed and approved, you will receive a Georgia Sales Tax Identification Number. This number is required for collecting and remitting sales tax.
9. Start Collecting and Filing Sales Tax: Once registered, begin collecting sales tax on all taxable sales. File and remit sales tax returns through the Georgia Tax Center based on your assigned filing frequency.

By following these steps, you’ll complete your sales tax registration efficiently and ensure compliance with Georgia tax laws. For further assistance, visit the Georgia Department of Revenue Tax Registration page.

Georgia Sales Tax Due Date​

Sales tax returns are generally due on the 20th of the month following the reporting period. Timely filing is required to avoid penalties.

Filing Frequency	Due Date
Monthly	20th of the following month
Quarterly	20th of the month following the quarter's end
Annually	January 20th of the following year

What Day is Georgia Sales Tax Due?

Georgia sales tax is due on the 20th of the month following the reporting period for monthly, quarterly, or annual filers.

What is the Penalty for Filing Sales Tax Late in Georgia?

The penalty for late filing in Georgia is 5% of the unpaid tax per month, up to a maximum of 25% of the tax owed. Interest is also charged on the unpaid amount.

For More Information

For more information on how to file your sales tax, visit the Georgia Sales Tax Revenue Service website.