0%profit tax on retained profits, 15% on distribution
Key facts.
Taxation
15% profit tax on distributions and equivalent events; 5% withholding on dividends. Small Business Status (1%) only for individual entrepreneurs.
Substance
Demonstrable connection to Georgia, source of funds, KYC updates; banks decide independently, in-person attendance possible. Registry: one working day with a complete application.
Director
No residence requirement. Business address for 12 months and support with one bank application included; no account guarantee.
Best suited to
For entrepreneurs with a Georgian business connection and for reviewing an additional banking relationship. A non-EU, non-US account does not remove disclosure or tax obligations.
Price on request. Fixed quote after the structure call, in writing before you engage us. The scope depends on legal form and plan.
The structure call fee is credited.
One ordinary LLC with one individual shareholder; no Virtual Zone certification.
Included in the package
Formation preparation, document review and a dedicated GCS contact.
Incorporation including government, local formation, translation and certification fees required for the standard case.
Local registration, required standard translations and certifications of incorporation documents, business address for twelve months and support with one bank application.
Digital incorporation documents and a schedule of ongoing obligations.
as quoted — Basic administration, renewing the included address and local statutory roles, plus routine register filings and related registry fees. Excluding applicable VAT; accounting provides any required financial information.
Budgeted separately
Share capital where the country requires it, taxes on your activity, bookkeeping, financial statements, tax returns and, where applicable, audits are outside the formation package. Physical offices, operational substance, nominee directors, special licences and additional entities are quoted separately. Bank-application support does not guarantee acceptance.
Potential advantages for your business.
Reinvestment and distribution
Ordinary LLCs generally face 15% profit tax on distributions and equivalent transactions, calculated on a grossed-up basis. Retained profits can remain available for reinvestment.
Eligible individual entrepreneurs can generally pay 1% on covered income. Activity, income source and revenue thresholds matter. This is neither an LLC regime nor VAT.
An LLC, a sole trader and special IT statuses are different models. This package covers an ordinary LLC, not Small Business Status or a Virtual Zone structure.
As of 09/2026. Benefits depend on activity, actual management, residence and personal circumstances. Company taxation is not the shareholder’s total tax burden.
What this company can offer.
0% on retained profits, 15% only on distribution
Standard articles, registration in one working day
Company and banking documents can be prepared together
Clarify business purpose, source of funds and local duties. Small Business Status at 1% is for individual entrepreneurs only, not an LLC.
When this country fits.
For entrepreneurs with a Georgian business connection and for reviewing an additional banking relationship. A non-EU, non-US account does not remove disclosure or tax obligations.
TBC and Bank of Georgia decide independently. Prepare ownership, source-of-funds, account-purpose and connection documents. In-person attendance and further residence or company evidence may be requested.
Corporate profit tax generally applies to distributed profits and equivalent events at 15%; covered dividends generally face 5% withholding. As of 09/2026.
Small Business Status is for individual entrepreneurs, not LLCs: 1% on turnover, 3% from the month annual turnover exceeds GEL 500,000 (article 90 Tax Code). Excluded are, among others, consulting, staffing, licensed activities and medical, legal, notarial and audit work (Government Ordinance No. 415, annex 4). As of 10/2026.
Virtual-zone treatment requires review of real Georgian IT activity, qualifying exports and substance. Registration alone is insufficient.
Foreign clients do not automatically make income foreign-source. The place of performance and statutory source rules matter.
From context to execution.
1
Review
Ownership, activity, residence and the countries involved.
2
Agreed sequence
Responsibilities, document checklist and open specialist questions.
3
Coordination
Company or residence documents, banking preparation and local professionals within the agreed scope.
4
Handover
Documents and a schedule of ongoing obligations.
Document review, specialist clearance, filing and account or status decisions follow separate processes. Authority and bank decisions cannot be guaranteed.
Ongoing duties.
Accounting, local returns, KYC updates and potential staffing or premises create ongoing obligations. Georgia participates in automatic information exchange. Special-status eligibility is checked before application.
From a German perspective.
An LLC with low-taxed passive income may require CFC review. The personal small-business regime is a separate issue. Residence certificates do not replace actual residence; treaty and extended limited-tax exposure need assessment.
Management & permanent establishment
Actual central management and fixed business facilities can create German tax exposure; a foreign registered address is not sufficient.
German nationals meeting all relevant conditions may face extended limited taxation for up to 10 years after the departure year (as of 09/2026). Preferential taxation alone is insufficient.
Tell us your current residence, your business model and your timeframe. In the 15-minute introductory call we establish whether your plans fit what we do.