Company Formation in Georgia

Roadmap Company in Georgia

How long does it take to register a Company in Georgia?

• 1-3 working days if all requirements are complete
• 5-7 days for remote incorporation (this will include time allotted for apostil of important documents.
• Additional day/s will be allotted if you also want to include bank account opening.

What are the steps to register a company in Georgia?

• Initial consultation and agreement
• Payment of the full invoice
• Discuss whether who or to appoint a registered agent

Taxes in Georgia

How high is the corporate income tax in Georgia?

• Retained profits are not taxable until distributed

What Double-tax treaties has Georgia?

VAT number in Georgia

Without VAT number

• A company that is not subject to mandatory VAT registration will be liable for a fixed tax instead

With VAT number

• VAT registration is either voluntary or mandatory. Any company may voluntarily apply for VAT registration but is mandated to do so if its VAT-taxable transactions for the previous 12 months have reached at least GEL 100,000
• VAT rate is at 18%. VAT returns and payment must also be done monthly

Decide first

1. Do you have a company now?
2. Decide what structure do you intend to register.
3. Note: There’s no concept of a ready-made company (shelf) in this jurisdiction.

Documents to provide for company registration in Georgia

• Passport copies (a scan) of all individuals above, also beneficiary owner if applicable
• A Power of Attorney (POA) from (all) partners/shareholders is needed (in case of a remote company registration)
• Certified company documents (in case at least one of the shareholders is going to be a foreign company)

Information needed to get company registration in Georgia

• 3 options of your desired name for the company and a company contact email address
• Names, addresses and emails of all shareholders and board members
• Short description of your companies’ activity

Remote incorporation in Georgia

• Georgia allows for total remote incorporation including opening of bank account for the company
• Aside from the necessary authorizations and POA, what is only required is the certified signature samples of the shareholder/s and director/s

Accounting and auditing in Georgia

• Georgia follows the IFRS accounting standard for small and medium companies or enterprises
• Big enterprises with total value assets of over GEL 10 million or an annual revenue of GEL 20 million (or at least 50 employees) are required to keep and maintain their books and submit their audited financial statements by an independent qualified accountant
• In addition to that, the big enterprises are also required to submit management report annually

Residential requirements in Georgia

What are the residential requirements in Georgia?

• Georgia is one of the few countries that allows for total foreign ownership of a domestic corporation
• This is one of their way to encourage foreign investment in their country