If you meet the qualifications to be eligible for Micro Business Status (Gross turnover under 30,000 GEL annually, no employees, not on the prohibited list of activities, etc.) then you can apply for Micro Business Status.
You will pay 0% tax on gross turnover once you are approved for Micro Business Status.
If your sole proprietor business will turnover more than 30,000 GEL (~$10,000 USD) annually, then you will need to register as a Small Business, rather than as a Micro Business.
If you already have access to your personal revenue service portal, you can apply for Micro Business Status online through the portal.
How To Register A Micro Business
Define your main business activities. The full list of recognized activities can be found here. It must not be an activity from the prohibited list.
Visit the Revenue Service office with your:
- Georgian Phone Number
- Revenue Service tax ID number (If you have one)
If you do not already have a tax ID, fill out the application to get your personal tax number.
It is also recommended that you ask the clerk to help set up your account on the Revenue Service’s online tax portal.
Request and fill out the Micro Business application. Most agents speak basic English, but if you are going to have questions about the process and your tax situation, it is best to ask a professional bi-lingual tax adviser before visiting the office, and/or to visit the Revenue Service with a Georgian speaking person.
If accepted, you will receive a certificate and benefit from Micro Business Status from the 1st day of the next calendar month. You are required to fill out and submit a simplified version of the annual income declaration before April 1st each year.
- If you become ineligible for the Micro Business Status at any point (your gross turnover exceeds 30,000 GEL or you start hiring employees), you need to urgently submit a request and register as a Small Business in a maximum of 15 days. If you don’t, your Micro Business Status will be automatically canceled and you will be paying regular taxes (20% on net income) according to Georgian Tax Code Articles 79 and 82.
- If your Micro Business stops economic activities, you need to submit an annual income declaration within a maximum of 30 days.
If you expect to start turning over more than 30,000 GEL in the next 12 months, you should also download our free Small Business Status Registration Guide: