News from Georgia

  • Georgian Virtual Zone Entities offer new opportunities for IT companies
    Georgia is becoming an increasingly popular jurisdiction for doing business both domestically as well as internationally. The attractiveness factors include the country’s top ranks in international ratings on ease of starting and maintaining a business as well as the fact Georgia has proven itself to be a corruption-free destination. Additionally, due to a number of benefits - such as the...
  • Georgia’s GDP shows higher growth rate than initially expected
    Since 2003, Georgia has embarked on a journey of continuous reforms towards liberalization of the economy. As a result, in recent years Georgia’s economy has been steadily growing. The country’s most important economic sectors include agriculture, mining (manganese and copper) and manufacturing.  In the past decade Georgia has also been heavily investing in energy independence by focusing on hydropower. The...
  • Kyrgyzstan ratifies double tax treaty with Georgia
    On 22 June 2017, the parliament of Kyrgyzstan approved the bill ratifying the tax treaty signed with Georgia on 13 October 2016. Currently, the ratification from Georgian side is still pending, and in order to become law and to be ratified, the bill still needs to be signed by the Presidents. The 2016-signed treaty covers taxes on income and profit...
  • To Petya or NotPetya; this is how to protect yourself!
    A new ransomware has risen and is spreading across Europe like wild fire. This new malware is creating chaos across businesses, from supermarkets to shipping ports, ad agencies and law firms. The new ransomware - code named “NotPateya” - shares some very similar characteristics to a very recent malware “Wannacry”. About NotPateya NotPateya gets its name from an older malware...
  • Treaty between Georgia and Liechtenstein enters into force
    Georgia has increased its DTT portfolio to now count 54 countries following the addition of one more treaty entering into force in late 2016. The double taxation avoidance agreement signed between Georgia and Liechtenstein in May 2015 entered into force on 21 December 2016 and is effective as of the beginning of 2017. It aims at increasing economic cooperation between...
  • Georgian Free Industrial Zones
    Georgia nowadays is becoming an increasingly popular jurisdiction for investments and export – import transactions with CIS and EU countries. Among other factors, the attractiveness is also due to the absence of strict currency control rules and the availability of free trade regimes with European and other foreign countries. Additional advantages include the absence of corruption, the transparent conditions of...
  • Euro Parliament Approves Visa-Free Schengen Travel for Georgia
    Anticipated for a long time, the preliminary approval on visa- free regime for Georgia was given in December 2016 while on 2nd of February 2017 European lawmakers have ratified the visa liberalization, with a vote of 553 to 66 and 28 abstentions. EU diplomats have stated that the final European Parliament vote is expected at the next plenary session, on...
  • Investment Opportunities in Georgia
    Located in the Caucasus region, Georgia is a true gateway between Europe and Asia.  In recent years, the country has achieved impressive progress in improving the business climate by implementing extensive reforms, a fact supported by international researches and well-documented in a number of international indices. Georgia is considered a politically stable, corruption-free investment destination with low business costs, simple...
  • Georgia and Korea sign a double taxation treaty
    Nodar Khaduri, Minister of Finance of Georgia and Yoo Il Ho, Deputy Prime Minister and Minister of Strategy and Finance of the Republic of Korea signed a double taxation treaty on 31 March 2016. Following appropriate actions, the treaty has been enacted and is in force since 17 Nov 2016. It will generally apply from 1st of January, 2017. It...
  • Setting up a Company and Doing your Banking in Georgia
    Setting up a company in Georgia Starting a business and setting up a company has never been easier in Georgia. The time frame is limited to 1-2 days and requires very few documents. Companies established in Georgia are subject to operation under Georgian law; however, there are no limitations for foreign citizens to become a partner or be appointed as...
  • New corporate income taxation rules in Georgia
    Based on the Law of Georgia N5092- II, dated 13 May 2016, amendments relating to the corporate income tax (CIT) have been introduced into the Georgian Tax Code. Most of amendments in question have entered into force on 1 June 2016 and envisage, in particular: the extension of the term of import VAT payment on certain types of fixed assets...
  • Georgia to amend corporate income taxation rules
    Georgia | March 2016 | The Ministry of Finance of Georgia has recently initiated important changes in the system of corporate income taxation, particularly related to the moment of taxation itself. The draft law on “Introducing Amendments to the Tax Code of Georgia” dated February 12th , 2016 (the “Draft Law”) abolishes the taxation of corporate income at the moment...
  • Entry into force of the Cyprus – Georgia Double Tax Treaty
    On May 13th, 2015 the Finance Ministers of Cyprus and Georgia signed a Double Tax Treaty (DTT) in Tbilisi during the 24th annual meeting of the European Bank of Reconstruction and Development (EBRD). This is the first such agreement concluded between the two countries and is providing promising ground towards strengthening of the economic relations between the two nations. The...
  • Georgia and Belarus Double Tax Treaty enters into force
    Georgia/January 2016 On 23 April 2015 Georgia and Belarus signed an agreement on avoidance of double taxation, prevention of evasion of income and capital taxes (“DTT”). The DTT applies to profit tax, income tax and property tax in Georgia and the tax on income, tax on profits, income tax on individuals and tax on immovable property in Belarus. Among other...
  • Georgia ratifies FATCA Agreement with the US
    Georgia/December 2015 On 18 September 2015, the Parliament of Georgia ratified the agreement on Foreign Account Tax Compliance Act (FATCA) between Georgia and the United States. The agreement - a Model 1 intergovernmental agreement - was signed on 10 July 2015. The purpose of the agreement is to obtain information about US taxpayers’ accounts opened with financial institutions in Georgia....
  • Georgia aims to facilitate international trade; reduces certain taxes
    Georgia/Ukraine 2015 Georgia is committed to develop its economy and bring its legislation closer to that of the European Union (EU). As a result, it has enacted changes in its legislation to facilitate trade and liberalize its tax regulations. A decision to commence the establishment of a free trade area with Georgia was taken by the EFTA Council of Foreign...
  • Cyprus and Georgia sign a Protocol in relation to the Agreement on Avoidance of Double Taxation
    Cyprus/October 2015 On 13 May 2015, during the 24th Annual Meeting of the European Bank of Reconstruction and Development (EBRD) in Tbilisi, Cyprus signed an agreement with Georgia for the Avoidance of Double Tax Payment (‘’Double Tax Treaty’’). The agreement signed by Cyprus and Georgia is harmonized with the OECD Model Tax Convention with some modifications. In particular, any building...
  • Eurofast moves to new premises in Georgia
    Georgia/July 2015 We are pleased to announce that Eurofast is relocating to new and bigger office in Tbilisi on 15 July 2015. The new office of Eurofast Georgian branch is conveniently situated in Tbilisi business centre. Our Eurofast Georgia is headed by Anna Pushkaryova who has over 10 year experience in advisory services specialising in M&A transactions dealing with sale...
  • Residence permits in Georgia
    Georgia/March2014 A temporary residence permit is issued to a foreign citizen wishing to say in Georgia for more than 90 days and up to 6 years. To be eligible for a temporary residence permits, a foreigner must meet one of the following requirements: Employment in Georgia in accordance with labor legislation of the country, including freelance professionals Stay in Georgia...
  • Georgia – Kuwait DTT
    Georgia/May 2014 On October 13, 2009, the government of Georgia and the government of the State of Kuwait have signed an Agreement for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income and on Capital. The treaty entered into force on April 14, 2013, and is applicable as of from January 1,...
  • Overview of legal framework on the protection of investment in Georgia
    Georgia/March 2014 Aygun Janmammadova In 2013 Georgia ranked 9th at on the World Bank’s “Ease of Doing Business” Report. The country has carried out positive reforms in all sectors of governance and economy and made significant improvement in macro-economic indicators. The Strategic geographic location serving as a regional trade hub, the low tax burden and the lack of bureaucratic hurdles...
  • Recently negotiated, signed and ratified double tax treaties
    Georgia/March 2013 During the second half of 2012 and the first two months of 2013, Egypt has negotiated, signed and ratified a number of Double Tax Treaties (DTT) with other countries. What follows below is an overview of the developments in the last six months. Egypt and Luxembourg commenced treaty negotiations in July of 2012, which are still ongoing. The...
  • Serbia Expands Its Double Tax Treaty Network
    Georgia/May 2013 While the end of 2012 in Serbia will be remembered by significant changes in Serbian legislation, the beginning of 2013 is reserved for signing and ratifying already signed double tax treaties. In January and February 2013, four new Double Tax Treaties with Canada, Palestine, Tunisia and Georgia, that were signed in April 2012, have been ratified, and it...