As one of the former Soviet republics, Georgia, surrounded by neighbours such as Russia, Turkey, Azerbaijan, and Armenia, has come of age. The country has over a period of time acquired the status of being one of the attractive business destinations in the world. The entrepreneur friendly milieu is further bolstered by an easy to get residence permit, reduced tax rates, and the ease of starting a business.
In fact, in the index of ‘ease of doing business,’ the country features quite high (even higher than Germany, Switzerland, and Holland) as acknowledged by the World Economic Forum, The World Bank, and The IMF. Let us delve into the reasons to understand why the country is a haven for business and how an IT company setup in Georgia can be achieved.
Georgia is fairly progressive in implementing its visa regime, wherein citizens from over 94 countries do not need any visa or residence permit to stay and work in the country for a period of one year. Besides, if you happen to be from the European Union or Turkey, you don’t even need a passport to enter the country – your national identity card would suffice.
Moreover, the process of obtaining a residence permit is fairly easy. In case you have a job, made an investment, or started an economic activity, you can obtain a residence permit by applying to the Public Service Development Agency. The country offers three types of residence permits namely, work, investment and permanent.
By being a Georgian passport holder you can benefit in many ways as mentioned below
- Get a visa free entry in many of the Latin American countries, Indonesia, Malaysia etc
- Able to enter the countries represented in the Schengen Area of EU without visa
In addition to having blood ties with any of the citizens of Georgia, you can get citizenship provided you fulfil the following criteria.
- Living legally in the country for five years without interruption
- Holding a job, real estate, shares in a national company, or having started an economic activity in addition to knowing the history, general principles of laws, and language of the country
- Being the spouse of a Georgian citizen who has stayed in the country for two years without any interruption
IT company setup in Georgia
With a view to being business friendly, Georgia has one of the lowest corporate tax rates in the world. And to make the most of these rates it is better to apply for a virtual zone status for your IT company following which, you can derive a slew of benefits.
- Exempted from paying corporate tax and VAT on the income earned by exporting software, developing websites, SEO, and paid marketing etc outside Georgia
- Exempted from paying export duties on products exported outside the customs duty territory of Georgia
- No requirement of permits, documents or licenses to set up and carry out an IT business
- Expenses to be deducted from the gross income on revenue earned by delivering IT products and services outside and within the territory of Georgia
- Exempted from special regulations (if any)
It is fairly easy and advantageous to set up an IT company in Georgia given the many benefits. And to facilitate the same, engage the experienced consultants from Kaukapital.