Start operating in Georgia
Where doing business is easy
IT Companies
Corporate income tax
Personal income tax
Property tax
Tax on undistributed profit
Why is Georgia attractive for IT companies?
In Georgia, fiber-optic and high-speed internet are widely accessible, and the introduction of 5G further enhances network capabilities. Additionally, Georgia is the first country in the region where Starlink has provided full coverage, significantly increasing the reliability and continuity of connectivity
According to 2021 data, around 30 international IT companies were operating in Georgia, while by 2025 this number has increased significantly. More than 170 international IT companies are now operating in the country.
Business registration takes on average 1 working day, and the tax model offers the IT sector 0% taxation on reinvested profit and only a 5% income tax on dividends.
Approximately 50000 people are employed in the ICT sector. 50,000-მდე ადამიანი.
Explore a complete step-by-step guide to setting up an IT company in Georgia — from registration to full operational readiness.
Georgia is now one of the most business-friendly countries in the region, offering an easy and transparent company registration process and a flexible tax environment tailored to technology firms.
This article provides a practical, comprehensive guide detailing how to establish an IT company in Georgia, what documentation is required, and how to prepare your infrastructure for launching operations.
I. Registration Stage
Georgia has one of the simplest company formation procedures in the world. Registration is carried out at a branch of the Public Service Hall and typically takes only one working day.
Step 1: Choose a legal form
Georgian legislation provides five organisational forms for commercial legal entities (GP, LP, LLC, JSC, Cooperative). The most commonly used structure is the Limited Liability Company (LLC / შპს), primarily due to its flexibility.
Key features of an LLC:
- Minimum capital: Not required
- Minimum number of founders: 1
- Founders may be either local or foreign individuals or entities
Step 2: Prepare the required documents
Registration details:
- Company name (unique, in Georgian or English)
- Legal address (office or coworking space)
- Information about founders and directors
- Shareholding structure
Founding documents:
- Founders’ agreement
- Articles of association
Registration can be completed at the Public Service Hall. Standard processing time: 1 working day Expedited service: same day It is important to note that notarisation of founding documents is not mandatory, as they can be certified directly at the Public Service Hall’s Entrepreneurial Register. Furthermore, certification is not required at all if the documents are electronically signed in accordance with Georgia’s Law on Electronic Documents and Trust Services.
After registration, the company must also register with the Revenue Service portal at rs.ge.rs.ge.
Taxation models for IT businesses
Standard taxation regime
- Corporate profit tax: 15%, applied under the Estonian model (only distributed profits are taxed)
Special tax regimes
- Special tax regimes Virtual Zone Status — for export-oriented IT companies Profit earned from services delivered outside Georgia is exempt from corporate income tax No licences or permits are required to operate Status is granted by the Ministry of Finance of Georgia
- International Company Status — for companies operating in specific IT fields and deriving income solely from such activities Corporate profit tax: 5% Personal income tax on employees: 5% Status is granted by the Government of Georgia
II. Opening a Bank Account
After registering the company, opening a corporate bank account is essential. The process in Georgia is straightforward and fully accessible to foreign founders.
Required documents:
- Extract from the Entrepreneurial Register
- Passports of founders and directors
- Articles of association
- Company seal (if applicable)
Average opening time: 1–3 working days
Popular banks: TBC Bank, Bank of Georgia, Liberty Bank, Credo
III. Choosing an Office or Workspace
IT companies in Georgia can choose between traditional office premises and modern coworking spaces.
Premium offices are located in central districts and offer contemporary architecture and full administrative services.
Mid-range offices provide an optimal solution for small and medium-sized companies, delivering essential infrastructure at more accessible rates.
Coworking spaces are especially popular among tech startups thanks to their flexibility and cost-efficiency.
IV. Final Stage: Operational Readiness
Once registration and banking arrangements are complete, the company must ensure:
- Proper accounting and financial reporting
- Registration of employees in the RS.ge system
Conclusion
Georgia offers a simple, transparent, and non-bureaucratic framework for launching a technology business. Company registration can be completed within a single working day, bank accounts opened within a few days, and the flexible tax system and digital services enable IT firms to begin operations quickly and efficiently.
Discover the tax and financial benefits available to IT companies in Georgia, designed to support the creation of a simple and efficient business environment.
Georgia offers one of the most favourable tax climates in the region for international investors. Its simple, predictable, and low-tax system provides conditions that enable IT companies to start operations with minimal bureaucracy and maximum efficiency.
5% profit tax
Companies holding International Company Status pay only 5% corporate income tax on income derived from eligible IT activities.
5% Personal Income Tax on Employee Salaries
Employee salaries within international IT companies are taxed at just 5%, significantly reducing labour costs and enhancing the company’s ability to offer competitive compensation to specialists.
0% Tax on Dividends
Dividends distributed by companies with International Company Status are fully exempt from taxation, simplifying profit distribution for both local and foreign shareholders.
0% Property Tax
Property directly used for activities covered by the status is exempt from property tax.
Double Taxation Avoidance Agreements (DTA)
Georgia actively cooperates with numerous countries to prevent double taxation. The country currently has 58 bilateral tax treaties, 58 ორმხრივი საგადასახადო ხელშეკრულება, მათ შორის ევროკავშირის სახელმწიფოებთან, ამერიკის შეერთებულ შტატებთან, ისრაელთან, კანადასა და ჩინეთთან.
including agreements with EU member states, the United States, Israel, Canada, and China. These agreements protect foreign investors from the risk of double taxation and simplify the management of taxes on dividends, interest, and royalties.
Summary
Georgia’s tax model provides a transparent, predictable, and innovative environment for technology companies. Zero taxation on reinvested profits, reduced rates on dividends, and protection under double taxation agreements create one of the most competitive investment ecosystems in the region — particularly for the IT sector, where flexibility and financial stability are essential for rapid growth.
FAQ
Why Georgia? What is the main advantage for IT businesses?
Georgia combines a strategic geographical location (at the crossroads of Europe and Asia), one-day company registration, the “Estonian” CIT model (0% on reinvested profits), 5% tax on dividends, fast digital public servicesMy.gov.ge, and a stable energy infrastructure. In addition, the country has a growing ICT talent pool (approximately 50,000 employees).
Which legal form should I choose when establishing a company?
The recommended structure is an LLC (შპს):
- No minimum capital requirement
- One founder is sufficient (resident or non-resident)
- Registration at the Public Service Hall, normally completed within 1 working day; accelerated service available on the same day
What documents are required for registration?
- Unique company name (GE/EN)
- Founder and director details/passports
- Legal address
- Articles of association and registration application
Is remote registration possible?
Yes. A foreign investor may complete the entire process remotely through a representative. Signatures and notarial actions are supported via e-Notary/eSignature channels.
What is the state of internet infrastructure?
- Fixed networks: average speeds of 20–40 Mbps nationwide
- Mobile networks: median download speed of ~140 Mbps (SpeedTest data, early 2025)
How stable is the energy supply?
Energy reliability has been improving year after year. Grid modernisation is ongoing, and service continuity indicators are strong — creating a predictable operational environment for technology teams.
How does the time-zone alignment work for international teams?
Georgia is GMT+4.
- Europe: 2–3 hour difference → 5–7 hours of work overlap
- Israel: +1 hour
- Dubai: 0 hours
- New Delhi: –1.5 hours
- New York: +9 hours
- Europe: 2–3 hour difference → 5–7 hours of work overlap
How can I hire local IT specialists?
Around 50,000 people are employed in the local ICT sector. Compatibility with remote workflows is high (experience with Slack, Jira, Notion, GitHub). You may use platforms such as Jobs.ge ან HR.ge For a tailored shortlist of candidates, contact doit@gita.gov.ge.
How does double taxation avoidance (DTA) work?
Georgia has treaties with many countries to reduce the risk of double taxation on dividends, interest, and royalties. Specific rates depend on the individual treaty. For financial and legal planning, consider the rules of your home jurisdiction.
Can I provide services remotely to foreign clients?
Yes. This is one of the strong advantages of operating an IT business in Georgia.
What are the risks if I fail to meet formal requirements?
Authorities typically grant time to correct documentation. If you do not respond within the given period, your application may be rejected.
Which government platforms and contacts are essential?
- NAPR / Public Service Hall — registration/extracts
- RS.ge — tax registration/declarations
- GITA — ecosystem, events, technoparks
- My.gov.ge — remote government services
How safe is the country and what is the work culture like?
Georgia is considered a very safe country with a welcoming environment. Technology companies operate with a modern work culture based on asynchronous communication and open feedback, making remote and hybrid work formats efficient and comfortable.