Georgia

Georgia Disabled/Retrofit Credit

Understanding the Georgia Disabled/Retrofit Credit

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Tax Expert Team

Tax Expert

3 min read
Published on 6 months ago
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The Georgia Disabled Person Home Purchase or Retrofit Credit (Tax Credit 201) allows eligible individuals with disabilities to claim a Georgia income tax credit for purchasing a residence or retrofitting an existing residence to include qualifying accessibility features. This credit is intended to help eligible disabled taxpayers improve accessibility in their homes.

Eligibility and Credit Amount

  • Eligible Individuals: A taxpayer must meet the Georgia requirements for a qualifying disabled person to claim this credit. The taxpayer should maintain appropriate documentation supporting eligibility, as required by the Georgia Department of Revenue.
  • Home Purchase Option: A credit of up to $500 may be available when a qualifying residence is purchased and includes all required accessibility features specified under Georgia law.
  • Home Retrofit Option: A credit of $125 per qualifying accessibility feature may be claimed for retrofitting an existing residence, up to a maximum of four qualifying features. The maximum credit allowed is $500 per residence.

Claiming the Credit

Complete Form IND-CR 201 – Disabled Person Home Purchase or Retrofit Credit to claim the credit.

Form IND-CR 201 is used to calculate the allowable credit amount, including:

  • Any available credit carryover from prior years.
  • The current-year credit amount based on qualifying home purchase or retrofit expenses.
  • The amount of credit allowed for the current tax year.
  • Any unused credit available for carryforward, if applicable.

Attach Form IND-CR 201 to your Georgia individual income tax return (Form 500 or Form 500X, if applicable).

The credit is non-refundable and may be carried forward to future tax years if the taxpayer cannot use the entire allowable credit in the current year.

Important Notes

  • The credit may only be claimed for qualifying home purchases or retrofit improvements that meet Georgia requirements.
  • Taxpayers should retain documentation supporting disability eligibility, residence purchase information, retrofit improvements, and qualifying accessibility features.
  • The credit cannot exceed the taxpayer’s Georgia income tax liability because it is a non-refundable credit.
  • Any unused credit may be carried forward according to Georgia Department of Revenue rules.
  • Taxpayers should refer to the current Form IND-CR 201 instructions for the applicable calculation method and reporting requirements.

Source:

Form IND-CR 201 - State of Georgia Individual Credit Form
Form 500 Instruction Booklet - Disabled Person Home Purchase or Retrofit Credit

Disclaimer: Always verify details with the Georgia Department of Revenue’s official forms and instructions. Tax rules may vary by state and year. For complex situations, consult a CPA or tax professional.

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Key Takeaways

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  • Keep detailed records of all tax-related expenses and documents
  • Consult with a tax professional for complex situations

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