Revenue Service of the Ministry of Finance of Georgia would you like to inform you, that in accordance with the tax legislation of Georgia, if you are not established or have no habitual residence in Georgia or/and you do not have a fixed establishment in Georgia, the obligation to calculate and pay VAT in the budget of Georgia, arises from October 1, 2021 instead of July 1, 2021. 

Under  article 1652(2) subparagraph โ€œEโ€ of the Tax Code of Georgia and according to article 471 of the instruction "On Tax Administration" approved by the order โ„–996 of the Minister of Finance of Georgia, the income received by you for supplying digital services to non-taxable natural persons on the territory of Georgia is subject to 18% VAT taxation, without registration as a VAT payer in Georgia.

In order to report and pay VAT, you must register on the portal on the website of the Revenue Service - "VAT Portal on Digital Servicesโ€

Regarding the procedure for fulfilling the tax obligation, consider the following:

  • The obligation to calculate and pay VAT arises on digital services provided from October 1, 2021 and the reporting period is quarter.
  • The tax return must be submitted to the Revenue Service,  no later than the 20th day of the month following the reporting period (quarter);
  • Tax shall be paid no later than the last day of the month following the reporting period (quarter);
  • Digital services include telecommunication services, electronically supplied services, radio or television broadcasting services.
  • Tax can be paid in foreign and national currency, in Georgian Lari (GEL), U.S. Dollar (USD) or in Euro (EUR) which can be selected at the time of the registration on the VAT portal;
  • Tax rate shall be 18%.