Regime Rate
0%
Under the Virtual Zone
Standard Top Rate
20%
without this regime
Duration
Unlimited
No expiry — permanent regime
Target Profile
Full Exemption
Georgia
Tax Savings Illustration
Example: €150,000 Annual Gross Income
Under Virtual Zone
€0
Standard Rate
€21 000
Annual Saving
+€21 000
Eligibility Requirements
Who qualifies?
- IT companies delivering services outside Georgia
How the Regime Works
Full details
0% corporate tax and 0% withholding on dividends for qualifying IT companies. Services must be delivered to non-Georgian clients. Registration with Revenue Service required.
Regime vs Standard Rates in Georgia
| Tax Type | Standard Rate | Under This Regime | Saving |
|---|---|---|---|
| Income Tax (top rate) | 20% | 0% | -20.0pp |
Frequently Asked Questions
What is the Virtual Zone in Georgia?
The Virtual Zone Person Status is a special tax regime in Georgia that provides 0% flat rate to qualifying individuals or entities. 0% corporate tax and 0% withholding on dividends for qualifying IT companies. Services must be delivered to non-Georgian clients. Registration with Revenue Service required. Legal basis: Tax Code of Georgia, Art. 99.
Who is eligible for the Virtual Zone?
Eligibility for the Virtual Zone is limited to: IT companies delivering services outside Georgia. Applicants typically must not have been Georgia tax residents during a specified prior period. Always verify current conditions at the source: Tax Code of Georgia, Art. 99.
How much tax do you pay under the Virtual Zone?
Under the Virtual Zone, you pay 0% personal income tax — compared to the standard Georgia top rate of 20%. This is a complete exemption for qualifying residents.
How long does the Virtual Zone last?
The Virtual Zone is a permanent regime with no set expiry — it applies for as long as you continue to meet the eligibility criteria.
How do I apply for the Virtual Zone?
Registration with Revenue Service required. For complete application procedures, refer to: Tax Code of Georgia, Art. 99.
Other Special Regimes to Compare
Disclaimer: This information is for general guidance only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making residency or tax planning decisions.