Georgia HEART Program
Archbold Medical Center is excited to be partnering with the Georgia HEART Hospital Program for an opportunity for individual and corporate taxpayers to make a charitable contribution dedicated specifically for one of our hospitals and receive a direct Georgia income tax credit against what you currently pay in state income taxes. Brooks County Hospital, Grady General Hospital, John D. Archbold Memorial Hospital and Mitchell County Hospital all qualify for this rural tax credit program that is sure to be popular among individual and corporate tax payers.
Donations made to any of our hospitals will be designated to help fund capital equipment needs; facility improvements and direct patient care enhancements at the hospital selected by the donor and cannot be spent elsewhere. Your gift will remain local, directly impacting the care of patients in our communities.
From 2018 through 2022, Georgia taxpayers could access $60 million of RHO tax credits each year, with each qualified RHO having access to $4 million of tax credits (until the total annual $60 million cap is met).
On May 9, 2022, Governor Brian P. Kemp signed House Bill 1041, which increased the cap on RHO tax credits to $75 million annually, beginning in 2023. From 2023 through 2024, Georgia taxpayers can access $75 million of RHO tax credits each year, with each qualified RHO having access to $4 million of tax credits (until the total annual $75 million cap is met). During the first six months of each year, a qualified RHO may only accept $2 million of corporate contributions and $2 million of individual contributions.
Notably, effective in 2022, there is a brand-new benefit for pass-through businesses, allowing a SALT (state & local income tax) limit workaround, coupled with a more generous HEART tax credit opportunity during the first six months of the year, per Georgia HB 149. Pass-through businesses may elect to pay state income tax at the entity level and may contribute to eligible rural hospitals through the HEART program at the same generous limits as C corporations (effective in 2022).
From January 1 through June 30 of each taxable year, the following limits apply with respect to Georgia HEART RHO contributions:
- Individual Filer – up to $5,000
- Married Filing Separately – up to $5,000
- Married Filing Jointly – up to $10,000
- C Corporation, Trust, or Pass-Through Entity electing to pay tax at entity level – up to 75% of annual Georgia tax liability
- Individual Owner of S-Corp, LLC, or Partnership (Pass-Through Entity) NOT paying tax at entity level – up to $10,000
After June 30 of each year, for so long as a portion of the $75 million annual cap on RHO tax credits is available, to offset their Georgia income tax liability, individual taxpayers may make unlimited contributions to RHOs for a corresponding 100% Georgia income tax credit.
In 2022, Georgia taxpayers consumed the $60 million in available rural hospital tax credits by July 1st. Georgia’s legislature increased the 2023 cap to $75 million. Credits are awarded on a first-come, first-served basis.