Taxes in Georgia

In recent years, Georgia has emerged as one of the most attractive destinations for investors - not only because of its strategic location, but also due to its simple and efficient tax system.

If you are considering investing in real estate, starting a business, or obtaining residency, it is essential to understand how taxation works in Georgia.

Why is Georgia’s tax system attractive?

Georgia’s tax model is built on simplicity and low bureaucracy.

Key advantages:

1. Low tax rates
2. Easy administration
3. No restrictions on property ownership for foreigners
4. Digital services and fast registration processes

This creates an environment where investors can focus on growth rather than bureaucracy.

Main taxes in Georgia

1. Income Tax

Personal income tax in Georgia is:

20% — flat rate

It applies to:

1. Salaries
2. Business income
3. Rental income

2. Value Added Tax (VAT)

1. Standard rate: 18%
2. Applies to goods and services

3. Property Tax

Property tax in Georgia depends not on citizenship, but on annual income.

1. In many cases, the tax can be 0%
2. The maximum rate is approximately up to 1% of the property value

As a result, for many investors, property tax is minimal or effectively zero.

4. Dividend Tax

If you receive dividends:

1. 5%

Real Estate Taxation

Georgia offers one of the simplest taxation models for real estate.

Rental income:

1. 5% for individuals

This is among the lowest rates globally.

Additional advantages for businesses

Georgia provides special tax regimes:

Small Business Status:

1. 1% tax on turnover (within the threshold)

Individual Entrepreneur:

1. Easy registration
2. Low administrative costs

Georgia’s tax system is designed to provide maximum flexibility for businesses and investors.

If you are looking for a country where you can:

1. Start a business easily
2. Manage costs efficiently
3. Grow capital in an optimized tax environment

Georgia is one of the best choices.