Gambling Tax Exemptions in Georgia

The taxation of gambling activities in Georgia is regulated by the Tax Code of Georgia and related legislation governing lotteries, gambling, and prize games. While the general framework establishes specific tax rates and taxable bases depending on the type of gambling activity, Georgian legislation also provides a number of tax exemptions and preferential tax treatments applicable to both organizers and players.

These benefits are activity-specific and depend on factors such as the type of gambling activity, the format (online or land-based), and the nationality of participants.

Table of Contents

Corporate Income Tax (CIT) Exemptions and Preferential Rates for Organizers

Full Exemption

Certain gambling activities benefit from full exemption from corporate income tax. Namely, profit received from the operation of a land-based gambling club and land-based sportsbooks is fully exempt from corporate income tax.

Preferential Tax Rates (5% Regime)

In addition to full exemptions, Georgian legislation provides reduced tax rates for certain types of gambling income.

For online gaming machine salons and gambling clubs, as well as for online sportsbook activities involving foreign participants, the taxable base (GGR) may be subject to a 5% tax rate instead of the standard 20%.

For online gaming machine salons and gambling clubs, as well as for online sportsbook activities involving foreign participants, the taxable base (GGR) may be subject to a 5% tax rate instead of the standard 20%

Personal Income Tax (PIT) Exemptions and Preferential Treatment for Players

Full Exemption for Foreign Players

A significant exemption applies to foreign individuals participating in online gambling activities.
Foreign citizens are fully exempt from personal income tax on income derived from participation in:

online gaming machine salons;
online sportsbooks;
online gambling clubs.

Preferential Taxation for Georgian Players (5%)

For Georgian citizens participating in online gambling, a reduced tax rate applies. Namely, the taxable object is the amount withdrawn from the gambling account, and the applicable tax rate is 5%.

The Georgian tax system offers a combination of full exemptions and preferential tax regimes in the gambling sector.

Key benefits include corporate income tax exemptions for certain land-based activities, reduced 5% tax rates for specific online activities involving foreign participants, and full personal income tax exemptions for foreign players.

At the same time, different rules apply depending on the format of the activity and the status of the participants, making proper classification and compliance essential.

About Andersen in Georgia

At Andersen Georgia, we advise gambling operators, technology platforms, and investors on the full spectrum of tax obligations, exemptions, and preferential regimes applicable to the gambling and betting industry in Georgia. Our team provides guidance on structuring gambling operations, identifying applicable tax benefits, and ensuring compliance with the Tax Code of Georgia. We assist clients with tax planning, regulatory compliance, and ongoing advisory support, including matters related to cross-border taxation and foreign participant income rules.

Gambling Tax Advice Georgia

For professional advice on gambling taxation and available tax exemptions in Georgia, contact us.

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Disclaimer: This article is based on Georgian legislation and public information as of April 2026. It is intended for informational purposes only and does not constitute legal or tax advice.