ATLANTA (AP) — Georgia lawmakers are agreeing on plan to create a flat state income tax of 4.99% by 2029 or later. The move will cut taxes by more than $1 billion.

The Monday votes by the House and Senate deliver on a key Republican priority in the final hours of the 2022 legislative session.

There was no formal estimate of how much revenue the state would forgo, but leaders said it would reduce taxes by $450 million in the first year and $1.2 billion when fully enacted. The measure would deliver an immediate flat tax of 5.49% on Jan. 1, 2024.

Now, Georgia’s top tax rate is 5.75%, with lower brackets below there.