IT in Georgia: How to Pay Less Tax and Operate Legally
Why Georgia Is a Magnet for IT Professionals
Are you a programmer, an IT company owner, or building a startup? Welcome to Georgia, where taxes don’t suffocate but support you. Special tax regimes are designed specifically for the IT sector.
Best of all—you can enjoy these benefits even while outside Georgia, for example in Azerbaijan. And we can help you do it.
Three Tax Regimes for Your IT Business
Choose the one that fits your scale, experience, and goals:
1. Small Business Status — Only 1% Tax
- Income tax rate — only 1%.
- Serve clients from any country.
- No requirement for residence permit, citizenship, or local address.
- Registration and status approval — fully online.
Important: If you provide IT consulting (not coding), the rate is 20%. We will structure your services correctly to avoid overpayment.
2. Virtual Zone — 0% Profit Tax
- Corporate profit tax — 0%.
- Lease an office anywhere; hire employees from any country.
3. International Company — 0% to 5% Tax
- Profit tax — 5%.
- Payroll tax — 5%.
- Dividends and assets — tax-exempt.
- Ability to deduct R&D expenses and local salaries.
All of this you can obtain through us—without leaving your office in Baku.
Our team in Azerbaijan assists IT professionals and companies from various countries to establish and grow their businesses in Georgia—from sole proprietorships to international IT firms.
We offer full support:
- Selecting the optimal tax regime
- Registering your sole proprietorship or company
- Filing all applications online
- Advising on taxation, residence permits, and compliance
Frequently Asked Questions
Can my contractor relationship be considered employment?
Yes. If the tax authority deems your work equivalent to an employment contract, the rate will increase to 20%. We assess risks in advance and help draft the correct agreement.
Do I need to file tax reports?
Yes. Monthly tax reporting is required in Georgia. We’ll guide you through the process or take it off your hands.
What if I am a tax resident of another country?
There may be double-taxation considerations. We will verify any treaties between Georgia and your country and help you avoid overpayment.
How do I maintain my Small Business or Virtual Zone status?
Violations (e.g., incorrect activity type or remote work from unauthorized locations) may result in status revocation. We monitor legal changes and advise on compliance.
Why Trust Us?
We’ve not only registered dozens of IT businesses in Georgia—we build reliable business bridges between Azerbaijan and Georgia. Our team has helped clients register sole proprietorships, obtain Small Business, Virtual Zone, and International Company statuses, set up reporting, and apply for residence permits—all remotely and with full support.
Ready to Get Started?
Contact us today, and we will set up your IT business in Georgia turnkey—without bureaucracy or hassle.
