The Georgia Department of Revenue has begun issuing the 2025 surplus tax refunds, a one-time payment program backed by the state’s budget surplus. More than 3 million payments, worth over $1 billion, have already been processed, while thousands remain pending as the state continues to make weekly disbursements.
The refunds are designed to put money back in the hands of taxpayers who filed their 2024 returns. The exact amount depends on the filing status, with individuals receiving up to $250, heads of household up to $375, and joint filers up to $500. For those who filed an extension, payments will not be sent until later this year, starting after the October 15 deadline.
Officials confirm that while Georgia does not tax these refunds, some taxpayers may need to report them as taxable income on federal returns if they itemized deductions in 2024. This makes record-keeping critical ahead of the 2026 tax season.
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Georgia Tax Refund Update 2025
The Georgia surplus refund covers nearly all taxpayers who filed a 2024 return and had a Georgia tax liability. Refund amounts are fixed across filing categories to ensure fairness in distribution.
| Filing Status | Refund Amount |
|---|---|
| Single filer | $250 |
| Married filing separately | $250 |
| Head of household | $375 |
| Married filing jointly | $500 |
Part-year residents and non-residents also qualify but will not receive the full amount. Their refunds are prorated based on the portion of income taxed in Georgia. For example, a taxpayer who moved mid-year will receive a reduced payment compared to a full-year resident.
The Georgia Department of Revenue is implementing programming for the 2024 Surplus Tax Refund.
Visit our website for more information and a list of FAQ’s here: https://t.co/9eUbCpj9m6 https://t.co/Nq6dcm4uD1
— Georgia DOR (@GADeptofRevenue) April 15, 2025
Payment Schedule and Process
Refunds are being released in phases instead of all at once. The first round began in June 2025, targeting taxpayers who filed on time. By September, 98% of these refunds had already been completed. Payments arrive either through direct deposit or mailed checks.
The second round of payments will begin in late October 2025. This applies to taxpayers who requested an extension on their 2024 return. The final filing deadline for extended returns is October 15, 2025. Refunds for this group will be calculated and processed shortly afterward.
The phased rollout is designed to prevent system overloads and reduce errors. Weekly disbursement cycles allow the Department of Revenue to verify returns carefully before issuing payments.
Tracking Refund Status
Taxpayers can confirm their eligibility and track payment status through the Department of Revenue’s online portal. To access the system, individuals need:
- Their Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
- Their 2023 Adjusted Gross Income (AGI), located on Line 16 of Form 500 or Line 4 of Form 500EZ
The tool provides real-time updates showing whether the refund has been processed, approved, or delayed.
Reasons for Delays
Not every taxpayer receives their refund at the same time, even within the same filing group. State officials highlight several reasons why a payment might take longer:
- Outstanding debts – Refunds may be offset to cover unpaid state taxes, penalties, or child support obligations.
- Processing order – Payments are sent in batches, so some taxpayers may be later in the queue.
- Filing errors – Mistakes in return details or incorrect banking information can slow down the verification process and require a manual review.
Direct deposits appear on bank statements under the code “GASTTAXRFD”, while mailed checks arrive from the Department of Revenue. Taxpayers are advised to monitor their accounts and retain all payment documentation closely.
Federal Tax Implications
While the refund is exempt from Georgia income tax, its federal tax treatment differs. Taxpayers who itemized deductions on their 2024 federal return may be required to include the refund as taxable income when filing in 2026.
To ensure proper reporting, the Department of Revenue will issue a Form 1099-G in early 2026. This form details the total refund amount received in 2025 and should be kept for federal filing.
| Year of Refund | Form Issued | Purpose |
|---|---|---|
| 2025 | 1099-G | To report state refund as potential taxable income on federal returns |
Key Facts for Taxpayers
The Georgia surplus refund provides financial relief at a time of rising household expenses. However, taxpayers should be aware of the following points:
- Refunds are $250, $375, or $500 depending on filing status.
- Part-year and non-residents receive prorated amounts.
- First-round payments began in June 2025; the second round starts after October 15.
- Refunds may be offset for debts such as unpaid state taxes or child support.
- Federal tax reporting may apply for those who itemized deductions.
Frequently Asked Questions
Is the Georgia surplus refund automatic?
Yes. Eligible taxpayers do not need to apply separately. If you filed a 2024 Georgia state return and had a tax liability, the refund is automatically calculated and sent.
What if I filed an extension?
Taxpayers who filed an extension have until October 15, 2025, to submit their return. Refunds for this group will begin processing in late October and continue through the end of the year.
How will I know when my refund is sent?
Refunds are either deposited directly or sent as paper checks. Direct deposits show up on bank statements labeled “GASTTAXRFD.” The Department of Revenue’s online portal also provides status updates.
Could my refund be reduced or withheld?
Yes. Refunds may be offset to cover outstanding debts such as unpaid Georgia taxes, penalties, or child support obligations.
Will I need to report this refund on my federal taxes?
Possibly. While Georgia does not tax the refund, the IRS may consider it taxable income if you itemized deductions in 2024. Taxpayers will receive Form 1099-G in early 2026 for federal filing purposes.