In Georgia, many business transactions, such as loans, advance payments, or capital contributions, are carried out in foreign currency. While this practice is common in international commerce, it carries specific tax implications that depend on how such operations are reflected and valued for Georgian tax purposes. Under the Tax Code of Georgia, any taxable transaction
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The sale of a business in Georgia can take two main forms: selling the company’s shares or selling its business assets. While both options ultimately transfer ownership and control, they differ substantially in their tax implications. Georgian tax law provides distinct treatment for each transaction type, especially under Personal Income Tax (PIT), Corporate Income Tax
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The 1994 Energy Charter Treaty (“ECT”) was ratified by Georgia on 22 February 1995 and entered into force on 16 April 1998 (the “Effective Date”). Concerning related agreements, Georgia also became party to the 1994 Protocol on Energy Efficiency and Related Environmental Aspects and the 1998 Amendment to the trade-related provisions of the ECT. The
On 17 September 2025, a bill introducing amendments to the Organic Law of Georgia “On the National Bank of Georgia” was submitted to the Georgian Parliament (the Amendments). The bill is currently pending its first reading. If adopted in its proposed form, the amendments will introduce a comprehensive regulatory framework for virtual asset service providers
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Introduction In Georgia, the taxation of real estate sales follows a simple and transparent framework. Unlike many other jurisdictions, Georgia does not impose a separate capital gains tax. Instead, profits from the sale of assets are taxed as ordinary income under either the Corporate Income Tax (CIT) or Personal Income Tax (PIT) regime, depending on
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Labor safety regulations in Georgia have become a topic of active discussion, as the Georgian relevant state authority, Labor Inspection Office (“Labor Inspection”), regularly conducts inspections of Georgian legal entities to confirm that they comply with Georgian labor safety laws. The main legal act regulating this specific field is the Law of Georgia on Labor
Georgia offers one of the most tax-efficient frameworks in the region for structuring and managing investment funds. Owing to the rules outlined in the Tax Code of Georgia and the Law of Georgia on Investment Funds, both domestic and international investors can benefit from generous tax exemptions, clear pass-through treatment, and full relief on certain
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Companies and organizations in Georgia must use electronic documents signed with a qualified electronic signature or stamp if they wish to submit electronic documents to administrative bodies. This process ensures secure, efficient, and verifiable communication between public and private entities. A qualified electronic signature offers several key advantages. It uniquely identifies the signatory, links them
Capital increases and reductions are common corporate transactions in Georgia. While these actions primarily reflect changes in a company’s equity structure, they also carry specific tax consequences. Understanding how capital contributions and withdrawals are treated under Georgian tax law is essential for both shareholders and businesses to remain compliant and avoid unexpected liabilities. Tax Consequences
Georgia has positioned itself as an appealing destination for globally mobile individuals, offering a unique route to tax residency designed specifically for High-Net-Worth Individuals (HNWIs). This program allows qualified applicants to obtain Georgian tax residency without meeting the usual physical presence requirement, making it an attractive option for investors, entrepreneurs, and affluent expatriates. General Rule
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