**Property Taxes in Georgia for Foreigners: How Much to Pay and How to Avoid Overpaying**

Three Situations, Three Taxes

1.   Purchase

There is usually no separate tax on buying property for foreigners: the rules are the same as for citizens. You will need to cover registration and notary fees.

2.     Ownership

An annual property tax applies. According to public sources, it depends on the region and the value of the property and usually does not exceed 1% of its value. Some owners with lower income may qualify for benefits. Check the exact amount with the tax office or a consultant.

3.     Renting Out

For residential property, a special rate of 5% applies to gross income, with no deduction of expenses, for both residents and non-residents. For commercial property, the rate is higher — around 20%. There is a separate small business regime for modest rental income, including income earned through short-term rental platforms: it may exempt you from tax if your income stays within the established limit.

Example: renting out a property for 800 GEL per month gives you 9,600 GEL per year. A 5% tax would amount to 480 GEL per year.

4.      Sale

The tax depends on how long you have owned the property. Usually, for property owned for more than two years, income tax is not charged or is significantly lower, while selling before that term results in a higher rate. The conditions depend on the type of property and your status, so check with a tax consultant.

How to Avoid Overpaying

Get a tax number and register with the tax office. Keep your lease agreement and payment confirmations. Plan your sale with the ownership period in mind.

Check whether the small business regime is right for you.

FAQ

Do I need to pay taxes in Georgia if I live in another country? Rental income earned in Georgia is taxed in Georgia. Tax matters in your country of residence are handled separately.

Who pays the tax: the owner or the tenant? The owner, unless otherwise specified in the contract.

Want an Accurate Calculation?

Submit a request at apb.ge/ru/contact. We will connect you with a tax consultant and calculate the net return on your property.

Tax legislation is subject to change. This information is for reference purposes only.