GeorgiaCompany formation, tax and banking

Why people choose Georgia

• Individual entrepreneurs with Small Business Status pay 1% of turnover up to GEL 500,000
• Company profits taxed at 15%, but only when paid out
• Virtual Zone IT companies pay 0% on income from abroad
• Mostly taxes only income earned in Georgia
• A company can be set up in a day or two

Where Georgia fits

• Individual entrepreneurs
• IT companies
• Trading and logistics

Where Georgia fits in a structure

Typical role · Fast, low-cost trading base

Georgia is a fast, cheap base to trade from. You can register personally as an individual entrepreneur and pay 1% of turnover up to GEL 500,000, or set up a company that's only taxed at 15% when profits are paid out, with IT companies able to get 0% on income from abroad under Virtual Zone status. Keep structures here a sensible size and pair them with a bank account in a second country.

What it depends onVirtual Zone status needs real IT work in Georgia and is given on application, you only become resident after 183 days or through the route for wealthy individuals, and Georgian banks' links to foreign banks have narrowed since 2022.

A simplified picture to explain the idea, not a recommendation. General information, not tax or legal advice.

Opening a bank account

TBC Bank and Bank of Georgia are the main banks, both good online and used to foreign clients. Opening accounts has become much harder for applicants with links to Russia and other former Soviet states, and the paperwork is now substantial. Individuals who don't live there can still open personal accounts if they visit in person.

How tax works here

Company profits are taxed at 15%, but only when paid out. Individual entrepreneurs with Small Business Status pay 1% of turnover up to GEL 500,000. Virtual Zone status gives IT companies 0% on income from abroad. Personal income tax is a flat 20%, and residents' income from abroad is generally not taxed.

Real presence, and who can see the owners

Georgia mainly taxes individuals on Georgian income, and you become resident after 183 days or through the route for wealthy individuals. Company registration details are public. Virtual Zone and International Company statuses need real activity and are given on application, not automatically.

When to choose it

Choose Georgia for a fast, cheap base for an IT or trading business, for an individual entrepreneur who wants the 1% turnover rate, or as a second country for operations alongside a stronger banking centre.

You get a written comparison, not a sales pitch.

Every Georgia recommendation comes as a written comparison with the alternatives — whether the setup will stand up to scrutiny, how easy banking will be, which tax treaties apply, who can see the owners, what it costs to run each year and the risk to your reputation — so you can see the trade-offs before you commit.