"Found my new home, now we got unfinished business, Go Dawgs 2021," Daniels wrote on Twitter.
A transfer from USC, Daniels spent most of the season recovering from a knee injury but made his Georgia debut Nov. 21 against Mississippi State, passing for 401 yards and four touchdowns while completing 73.7% of his attempts. Daniels started Georgia's final four games, passing for 1,231 yards and 10 touchdowns with two interceptions.
Before Daniels took the field, Georgia's pass offense had struggled, averaging 209.3 yards per game with nine touchdowns and nine interceptions.
Daniels rated as ESPN's No. 3 pocket passer and No. 68 overall player in the 2018 recruiting class. He started as a true freshman at USC in 2018, passing for 2,672 yards with 14 touchdowns and 10 interceptions. Daniels tore the ACL and meniscus in his right knee during USC's season-opening win against Fresno State in 2019. Kedon Slovis emerged as USC's starter, and Daniels transferred to Georgia last May.
He was medically cleared to play at Georgia in late September but didn't see the field until much later.
Georgia defensive tackle Devonte Wyatt, who started all 11 games this season, also announced Tuesday that he would return, taking advantage of the NCAA's extra year of eligibility because of the coronavirus pandemic. A 6-foot-3, 315-pound senior, Wyatt had 25 tackles, two tackles for loss and 13 quarterback pressures this season.
ESPN's Mark Schlabach contributed to this report.