Is 5% tax maximum for IT companies?

Practically yes. But there is personal income tax 20% for IT companies as well. The fact is, it is not obligatory for the IT companies to pay salaries. Owner can distribute profit and pay only 5% tax for dividends.

Are there any hidden fees that I need to know?

Without a proper work plan there could be an extra taxes if you (your company) are going to purchase a service from foreign company. We can give you right advice to avoid these issues.

IT company registration in Georgia as IT Virtual Zone Status

Name: IT company registration in Georgia as IT Virtual Zone Status
Brand: Visadb

travel_exploreImmigration & Residency

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FAQ

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Georgian legislation favors companies involved in the development and sale of IT products. Companies enjoying IT virtual zone company status are exempt from VAT and income tax and benefit from a minimum 5% tax on the distribution of dividends, and all without a physical transfer of the company’s office tо Georgia.

What are the requirements? Registration of a new company in Georgia. An application to obtain virtual zone company status. The company must satisfy the following conditions: Virtual zone entity – a legal entity carrying out information technology activities that have been assigned the corresponding status. Information technology – the study, support, development, design, production, and implementation of computer information systems, as a result of which software products are produced. All procedures require a maximum of 12 days.

Included in this service

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Company registration (personal visit or remotely)

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Assistance in obtaining IT Virtual Zone company status

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Assistance in document preparation

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Legal address for the company for 1 year

Pricing Breakdown

Price breakdown for all categories of services.

Full Service

$1200 - $1300

Consultation

Free - $50

Frequently Asked Questions

Users ask this questions about this service.

Practically yes. But there is personal income tax 20% for IT companies as well. The fact is, it is not obligatory for the IT companies to pay salaries. Owner can distribute profit and pay only 5% tax for dividends.
Without a proper work plan there could be an extra taxes if you (your company) are going to purchase a service from foreign company. We can give you right advice to avoid these issues.