On May 9, GA LEG enacted bill to extend long-term note thresholds.
GA LEG enacted bill HB 586, revise notes for which intangible recording tax is imposed.
Act amends GA FIN 48-6-3, extending the threshold for long-term obligations from 3 years to 62 months and updating related procedures and definitions accordingly.
Document dated May 9, 2025, was added on Jun. 16, due to editorial backfill.
Bill Provisions
Amended Definitions in GA FIN 48-6-3-60, Long-term note secured by real estate.
Increased to consider long-term when any part of principal of note falls due more than 62 months (was 3 years) from the date of the note/instrument creating a lien.
In GA FIN 48-6-3-66, instruments that create liens on real estate must either state exact amount, due date, or statement if note due within 62 months (was 3 years).
Under GA FIN 48-6-3-68, threshold for requiring recording, tax payment on a bond for title extended from 3 years - 62 months if any part of purchase price due beyond then.
Legislative History
On Feb. 21, 2025, bill was introduced in House; on Mar. 6, 2025, bill passed House.
On Mar. 10, 2025, bill was introduced in Senate; on Apr. 2, 2025, amended bill passed.
On Apr. 4, 2025, House concurred; on May 9, 2025, bill was signed by the governor.
Effectiveness
Bill was signed into law as Act 77, effective Jul. 1, 2025.
