On March 28, 2005, Governor Sonny Perdue signed legislation giving teachers in Georgia
a deduction of up to $250 per year for the purchase of school supplies. The legislature
gave final passage to the teacher tax cut (HB 263) on March 21, 2005. This deduction
is retroactive to include the 2004 and 2005 tax years. Prior to March 28, 2005,
Georgia had not adopted any of the provisions of the W orking Families Tax Relief
Act of 2004 or the American Jobs Creation Act of 2004, which include extension of
the $250 deduction for teacher classroom expenses.
Qualified taxpayers can claim this deduction on Federal Form 1040, Line 23 or Form
1040A, Line 16. Because the federal adjusted gross income is listed on Georgia Form
500 (Line 8), no adjustments are needed to claim this deduction on your Georgia
If you filed your tax year 2004 Georgia income tax return on or before March 28,
2005 and added educator expenses as an adjustment on Line 9, you may file
Form 500X to amend your return. If the deduction was claimed on the
federal return but not added as an adjustment on your previously filed Georgia return,
an amended return is not necessary.
The Governor’s press release related to this deduction can be viewed at http://www.gov.state.ga.us/press/2005/press737.aspx.
NOTE: The teacher tax cut is a tax deduction that could reduce
your Georgia adjusted gross income. It is not a tax credit. Therefore, it should
not be subtracted from your Georgia taxable income or tax liability.
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