A clean split: permanent rights vs. subscription access
Georgia's local tax map is one of the easier ones to work with. You track county-level rates only, where other states stack a city rate and a special district rate on top of the county.
Georgia sales tax rate table
| Field | Value |
|---|---|
| State base rate | 4.0% |
| Average combined rate | 7.32% |
| Local add-on range | 0% to 4% |
| Maximum combined rate | 9.0% |
| Rates vary by county/city | County-level only, no city or district layers |
| Sourcing | Destination-based |
| Tax authority | Georgia Department of Revenue |
$100,000 or 200 transactions, whichever you hit first
Georgia has enforced economic nexus since January 1, 2020. You must register once your gross sales pass $100,000, or once you complete 200 separate transactions, in the current or previous calendar year. Either test alone creates the obligation, and both count all your Georgia sales, even the ones that aren't taxable.
- You might sell entirely exempt products but still have a legal obligation to register and file zero-dollar returns.
- Watch the transaction count if you sell low-priced items. Two hundred small orders reach the threshold long before revenue approaches $100,000.
- Marketplace sales count toward your total, even though the platform collects the tax.
- The Department of Revenue keeps its current rules on its Sales & Use Tax page.
Buying vs. renting: the split since January 1, 2024
Georgia taxes digital goods when a customer buys a permanent right to use them. Subscription-based access, which lacks a permanent use right, stays exempt.
| Product / service | Tax treatment |
|---|---|
| SaaS (B2B and B2C) | Exempt |
| Downloaded software (permanent license) | Taxable |
| Streaming / subscription software | Exempt |
| E-books, music, video (permanent license) | Taxable |
| E-books, music, video (streaming/subscription) | Exempt |
| Cloud storage / data processing | Exempt |
Hybrid models create headaches: a platform with both a monthly cloud subscription and a permanent downloadable app requires separating those revenue streams.
Product taxability in Georgia
| Product category | Tax treatment |
|---|---|
| Groceries & unprepared food | Exempt |
| Prepared food & restaurant meals | Taxable |
| Candy & soft drinks | Exempt (treated as groceries) |
| Clothing & apparel | Taxable |
| Prescription & OTC drugs | Exempt |
| Manufacturing machinery & equipment | Exempt |
| Computers & business equipment | Taxable (high-tech exemption narrowed in 2025) |
Georgia exempts candy and soda just like groceries, and exempts OTC medications. That is broader relief than most states give.
No active sales tax holidays as of 2026
Georgia previously offered a back-to-school holiday in July but stopped renewing it. The 4% base rate plus local rates applies year-round.
Filing and registration
Register online through the Georgia Tax Center (GTC). Free, 2 to 5 business days.
| Frequency | Assigned when… |
|---|---|
| Monthly | Average liability $300+/month |
| Quarterly | Under $300/month |
| Annual | Very small sellers |
Returns due the 20th of the month following the reporting period.
- Late filing/payment: up to 25% combined, which is Georgia’s maximum penalty
Vendor discount: keep 3% of tax collected, up to $3,000/month.
Not sure which of these apply to you?
We map your Georgia exposure, from the digital goods split to your exemption certificates, and give you a plan. The first call costs nothing.
One registration covers the whole state
Georgia is not a home-rule state. The Department of Revenue administers all sales tax centrally and local taxes sit at the county level only, so one registration covers every jurisdiction in the state. Georgia does not participate in SST. Central administration still keeps the filing burden well below what you face in Colorado or Louisiana.
Voluntary Disclosure Agreement (VDA)
Georgia offers a formal VDA program directly or through the MTC. Lookback typically 3 years. Penalties waived; interest owed in full. Process takes 60-90 days.
Audit risk in Georgia
Georgia audits remote sellers heavily, running federal tax returns and 1099-K forms through matching software. Common triggers: high exempt sales without documentation, large filing swings, recently registered sellers who failed to pay prior-year taxes. Statute of limitations: 3 years if filed; unlimited if never filed.
Recent changes & quirky rules
Perpetual-license digital products are now taxable; subscription SaaS remains exempt.
You track the state rate plus a single county rate. No city or special district add-ons.
Exemptions & resale certificates
Georgia issues Form ST-5 for resale purchases, also accepts the SST Uniform Exemption Certificate. Blanket, don't expire. Common exemptions: resale, manufacturing (machinery, energy, materials), agriculture, government.
Your next steps for Georgia compliance
- Calculate total gross sales across all channels. Marketplace sales count toward the $100,000 threshold even though the platform collects the tax.
- Sell downloadable software or media? Update your tax engine for the 2024 taxability changes.
- Have back liability? A VDA caps exposure at 3 years and waives all penalties.
Where this comes from
Rates and thresholds on this page were verified June 10, 2026 against the Georgia Department of Revenue and its sales and use tax guidance. ZIP-level rates in the calculator come from our rate file, updated monthly.