Tax & Structuring Solutions
for Citizenship and Residency by Investment

Taxation:

• Corporation Tax: 3 – 15%
• Capital Gains Tax: none*
• VAT: 0 – 19%

Main benefits of the jurisdiction:

• One of the lowest Corporation Tax in European Union
• No Capital Gains Tax on sale of securities
• No Withholding Tax on dividends paid and received
• Large number of Double Tax Treaties signed
• Access to EU directives
• Non-dom regime, residency by investment, naturalisation by investment possible
• Flexible and stable tax and legal system

Types of entities: Private Limited Company, Public Limited Company, General Partnership, Limited Partnership, Partnership Limited by Shares, Trusts, Charitable Foundation, Associations, Clubs

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: no
• Public Registry of Companies: yes

Time to incorporate:  from 2 days. Remote registration possible. Shelf companies available.

Taxation:

• Corporation Tax: none or 9% depending on the activity and legal form
• Capital Gains Tax: none
• VAT: 5% (exempt for international B2B sales)
• No WHT on dividends

Main benefits of the jurisdiction:

• Exemption from corporate and capital gains tax for qualifying activities
• Very low VAT rate (if applicable)
• Very low fixed 9% rate of Corporate Income Tax on profits
• Stable and transparent legal system
• No Personal Income Tax
• Stable and well-developed banking system
• One of the most developed trading and service infrastructure in the world

Types of entities: Offshore company, Free Zone company, Designated Zone Company, mainland Limited Liability Company, Private Foundations.

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: none.
• Public Registry of Companies: none.

Time to incorporate: Starting from 3 days

Taxation:

• Corporate Profit Tax – 15%, payable only when the dividend is distributed. Zero tax possible when using Free Zone companies or Virtual Zones Companies.
• Import Tax – 0%, 5% or 12%
• Excise Tax – depends on the listed products
• Property Tax – up to 1%
• Double Tax Treaties Network – very broad, more than 50 DTTs signed
• Tax year – tax calendar year
• Advance Rulings from tax authorities – available
• VAT registration – voluntary, only obligatory if the turnover of activities subject to VAT exceeds GEL 100,000 per annum
• VAT rates – standard rate: 18%
• Social Security TAX – 0%

Main benefits of the jurisdiction:

• Located in a trade strategic area between Asia and Europe
• Ranked as 7th place in the world for ease of doing business.
• Has successfully adopted the DCFTA that results in having eliminated all customs duties for goods originating in Georgia being imported into the EU
• Free trade agreement (FTA) with China is effective which makes Georgia the second European country (after Switzerland) that has FTA with China
• Offers numerous incentives for the development of the business environment.
• One of the most competitive markets in its region
• Offers three industrial zones, created to cater the needs of specific business sectors and they are to be found in Poti, Kutaisi and Tbilisi.

Main tax incentives that Georgia offers are:

• STC licensed Georgian LLC: exemption from tax for trading performed outside Georgia
• IFC licensed Georgian LLC: exemption from tax for international financial services and holding companies selling shares of foreign entities
• VZC licensed Georgian LLC: exemption from tax for providing IT services outside Georgia
• Free Zone Companies: exemption from any corporate tax and withholding tax.
• Public Registry of Ultimate Beneficial Owners: No
• Public Registry of Companies: Yes

Time to incorporate:  24 hours

Taxation:

• Corporation Tax: 28% on net profits for resident companies; non-residents taxed only on Grenada-sourced income.

• Capital Gains Tax: None.

• VAT: Standard rate 15%; reduced 10% for hotels/diving; 20% for mobile operators; 0% for certain staples.

Main benefits of the jurisdiction:

• No capital gains tax.

• International Business Companies may enjoy up to 20 years’ exemption from corporate, withholding, and landholding taxes.

• Citizenship-by-investment available.

Types of entities: International Business Company (IBC), LLC, Partnership, Trusts, Foundations.

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: No.

• Public Registry of Companies: Yes.

Time to incorporate: From 2 days. Remote registration possible. Shelf companies available.

Taxation:

• Corporation Tax: 25% standard rate; reduced to 22.5% for banks, 10% for insurance, oil, and telecom companies.

• Capital Gains Tax: None.

• VAT: Standard rate 15%; reduced 14% for hotels/restaurants; 0% for exports, certain goods and services.

Main benefits of the jurisdiction:

• No capital gains tax.

• Sector-specific corporate tax reductions.

• Citizenship-by-investment available.

Types of entities: International Business Company (IBC), LLC, Partnership, Trusts, Foundations.

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: No.

• Public Registry of Companies: Yes.

Time to incorporate: From 2 days. Remote registration possible. Shelf companies available.

Taxation:

• Corporation Tax: 25% for resident companies.

• Capital Gains Tax: None.

• VAT: Standard rate 15%; reduced 10% for hotels/diving; 0% for certain staples and services.

Main benefits of the jurisdiction:

• No capital gains tax.

• Straightforward offshore regime.

• Citizenship-by-investment available.

Types of entities: International Business Company (IBC), Foundations, Trusts, Partnerships.

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: No.

• Public Registry of Companies: Yes.

Time to incorporate: From 2 days. Remote registration possible. Shelf companies available.

Taxation:

• Corporation Tax: 33% on net profit for resident companies; same rate for non-residents on local-source income.

• Capital Gains Tax: None.

• VAT: Standard rate 17%; reduced 10% for hotels/restaurants; 0% for certain essentials and services.

Main benefits of the jurisdiction:

• No capital gains tax.

• No personal income tax.

• Citizenship-by-investment available.

Types of entities: International Business Company (IBC), LLC, Partnership, Trusts, Foundations.

Disclosure rules:

• Public Registry of Ultimate Beneficial Owners: No.

• Public Registry of Companies: Yes.

Time to incorporate: From 2 days. Remote registration possible. Shelf companies available.