News Summary
In July, Georgia’s net tax collections fell to $2.49 billion, marking a 2.7% decrease from the previous year. The drop, amounting to a loss of $70.1 million, raises concerns about the state’s fiscal health, driven by reduced individual and corporate tax rates. While individual income tax collections increased slightly, corporate income tax saw a significant decline. Local revenues presented a mixed bag, reflecting varying economic pressures across different regions. Understanding these trends will be crucial for Georgia’s future economic strategies.
Atlanta, Georgia — In July 2025, Georgia’s net tax collections fell to $2.49 billion, representing a 2.7% decrease from the previous year’s collections of $2.56 billion. This decline translates to a reduction of $70.1 million compared to July 2024, raising concerns about the state’s fiscal health.
The drop in overall tax collections is primarily attributed to a reduction in individual and corporate tax rates by 20 basis points (3.7%), which has impacted revenue streams. Despite this decline, there was a slight increase in individual income tax collections, which rose by $8.6 million (0.7%) in July 2025, totaling nearly $1.26 billion.
Detailed Revenue Breakdown
Gross sales and use tax collections saw a modest increase, reaching approximately $1.61 billion, up $19.3 million (1.2%) over the previous year. However, net sales and use tax collections experienced a decrease, falling by $12.9 million (1.6%) compared to July 2024.
Local governments benefitted from adjusted sales tax distributions, which totaled $808.6 million, an increase of $31.9 million from last year. Nevertheless, sales tax refunds also rose slightly, increasing by 0.3 million (3.1%) in July.
Corporate Income Tax and Other Collections
In stark contrast to individual income tax collection, corporate income tax collections dropped significantly, amounting to $53.7 million, a 56.6% decline from $123.9 million in the same month last year. This sharp drop in corporate taxes indicates a shifting economic landscape impacting businesses.
In terms of fuel-related taxes, motor fuel tax collections recorded a modest increase of $3.2 million (1.7%) versus July 2024, totaling $191.3 million. Additionally, revenue from motor vehicle tag and title fees rose nearly $6 million (19%), reflecting an uptick in vehicle registrations and transactions. Title ad valorem tax collections also saw a significant increase, rising by nearly $6.6 million (9.9%) over the year.
Local Impact in Gordon County
In Gordon County, tax collections reflected mixed results. Special Local Option Sales Tax (SPLOST) collections reached $1,311,302, slightly below last year’s figure of $1,318,321. Local Option Sales Tax (LOST) collections for the county totaled $799,817, down from $805,852 in the prior year. The City of Calhoun experienced similar trends, with LOST collections reaching $464,930, slightly below last year’s $467,892.
Furthermore, Gordon County’s Education Lost (ELOST) for July totaled $809,120, which is marginally lower than the $812,412 collected in July 2024 but shows an increase from $774,674 in June. ELOST for Calhoun amounted to $534,921, just shy of last year’s $536,624, but also up from $512,539 in June.
Overall Economic Implications
The overall tax collection numbers present a complex picture of Georgia’s economic environment. While certain areas, such as individual income and gross sales taxes, exhibit growth, the decline in corporate income tax points to challenges ahead for the state’s economy. The fluctuations seen in the motor vehicle sector and local tax receipts reflect varying economic pressures across different regions of Georgia.
As state officials review these figures, understanding the underlying causes of these trends will be crucial for developing effective tax policies and economic strategies to foster continued growth in Georgia.
Deeper Dive: News & Info About This Topic
- Grice Connect
- Valdosta Today
- WSB TV
- The Center Square
- 11Alive
- Wikipedia: Georgia (U.S. state)
- Google Search: Georgia tax revenue 2025
- Google Scholar: Georgia tax revenue
- Encyclopedia Britannica: Georgia
- Google News: Georgia tax revenue July 2025
Author: STAFF HERE AUGUSTA WRITER
AUGUSTA STAFF WRITER The AUGUSTA STAFF WRITER represents the experienced team at HEREAugusta.com, your go-to source for actionable local news and information in Augusta, Richmond County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Arts in the Heart Festival, Westobou Festival, and Masters Week. Our coverage extends to key organizations like the Augusta Metro Chamber of Commerce and Greater Augusta Arts Council, plus leading businesses in manufacturing and healthcare that power the local economy such as Textron Specialized Vehicles, Cardinal Health, and Nutrien. As part of the broader HERE network, including HEREAtlanta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.
