Consulting and accounting services for IT companies in Georgia

What type of benefits is applicable for IT firms in Georgia? Law/No taxes

Tax benefits for IT companies in the country of Georgia

Georgian tax legislation is most friendly with IT firms. There are 2 special/beneficial tax regimes applicable for IT companies: “Virtual Zone Person” and “International company”.

Tax benefits for Virtual Zones in Georgia

0% corporate income tax on the profit earned from providing certain IT services to foreign clients;
0% VAT on services provided to foreign clients

Tax benefits for “International Companies” in Georgia (Apply for IT and shipping firms)

  • 5% corporate oncome tax;
  • 0% withholding tax on dividend;
  • 5% wage tax;
  • 0% property tax.

Consulting and accounting services for IT companies in Georgia

We offer a full package of services to IT companies in Georgia

 Registration of “Virtual Zone Person (VZP)” in a country of Georgia

Tax exemption for IT companies in Virtual Zone in Georgia is a wonderful benefit but it applies only to certain types of IT activities and with some preconditions.
Thus, first, you need to analyze whether your company really qualifies under “Virtual Zone Person” and proceed with the application only after that. We will support you in all stages of the process.

We offer:

  • Tax consultation for VZPs (analyses of whether an IT firm qualifies under VZP status and tax exemption);
  • Formation of Virtual Zone Person (business registration and obtaining of the status of VZP);
  • Bookkeeping services.

The business substance is needed for Virtual Zones in Georgia. You can find our article on this topic here.

Registration of “International company” in Georgia

The status of “International Company” is newly introduced in the Georgian tax law and applies to IT and shipping businesses. We offer assistance in obtaining the status of “international company” for your business.
Before starting this procedure, we will conduct and deliver a thorough analysis of whether your company can qualify under “International company” status/the tax benefits without bearing any material tax risk.

“Virtual Zone “or “International Company”?

A comparison between “Virtual Zone Person” and “International Company” is described in our article which you can find here.

Let's Talk

Speak with a Tax Expert

Request our consultation: send us an e-mail or fill in the contact form

image

info@tpsolution.ge

image

(+995) 595 31 30 01

image

Office Address

Tbilisi, Georgia

Contact Us

We here to help you 24/7 with experts


    Insights

    When is salary income taxable in Georgia and at what rate?

    When is income from employment taxable in Georgia? Income from employment is taxable at 20% in Georgia either at source...

    Monthly / Annual Tax Reporting Obligations in Georgia (the country)

    How to comply if your Georgian business is not active every month of the year?Tax and Financial Reporting in Georgia...

    New criteria must be met by Virtual Zone Persons to enjoy corporate income tax exemption in Georgia

    A new guideline from the Georgian Revenue Service regarding taxation of Virtual Zone Persons in Georgia A few days ago,...

    Advantages of doing business in the country of Georgia and available professional accounting services

    Advantages of doing business in the country of Georgia and available professional accounting servicesGeorgia-low tax country with easiness of doing...

    Transfer Pricing (TP) law in Georgia (Country)

    The article was initially published by Gela Barshovi on Forbes Georgia Transfer Pricing rules applicable in Georgia (in brief) Georgia...

    Territorial taxation for individuals in Georgia

    The article was initially published by Gela Barshovi on Forbes Georgia Foreigner source income is tax exempted for individuals in...

    Tax rates in Georgia (country) as well as reporting periods are provided in the table below:

    GEORGIAN TAX TABLE: Tax category Rate Tax base Reporting period Remarks Corporate Income tax in Georgia 15% Gross amount of...

    How to register a company and open a bank account in Georgia

    Currently, Georgia is one of the most attractive places for investors to relocate their businesses. I have written many articles...

    Tax residency rule in Georgia for High Net Worth Individuals (HNWI)

      Georgia applies exceptional rule of tax residency for High Net Worth Individuals (HNWIs) If you aspire to become a...