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Georgia 1% Individual Entrepreneur Tax Regime vs Georgia Remotely from Georgia Programme

A factual side-by-side comparison of two residency programmes. All figures are drawn from the canonical program pages — follow either link in the table header for sources and the full profile.

Key Differences at a Glance

  • Georgia Remotely from Georgia Programme includes family members; Georgia 1% Individual Entrepreneur Tax Regime does not.
Country
Georgia
Georgia
Category
Other
Digital Nomad
Application Fee
$0
$0
Minimum Income
$2,000
/mo
Minimum Investment
Processing Time
1 months
1 months
Family Included
No
Accompanying family members may apply for a separate work/stay permit; no additional income threshold stated
Path to PR
No
No
Path to Citizenship
No
No
Physical Presence
The 1% tax status itself grants no right to remain in Georgia — it is purely a tax registration. Holders must separately rely on Georgia's visa-free entry (up to 365 days for citizens of roughly 95 countries, including the US, UK, EU, Canada, and Australia) or hold a qualifying Georgian residence permit to legally remain in the country long enough to operate the business and, if desired, meet the 183-day threshold that triggers Georgian tax residency.
Visa is valid for 1 year; presence in Georgia required. Many nationalities (including US, EU, UK) can stay visa-free for up to 1 year without this program.
Dual Citizenship
Allowed
Allowed
Tax Impact
Individual Entrepreneurs registered for Small Business Status pay a flat 1% tax on gross turnover up to GEL 500,000/year (roughly USD 180,000), with no separate personal income tax on that turnover. Georgia's tax system leans territorial in practice for many types of foreign-sourced income, and the regime is most commonly used by consultants, freelancers, and remote-service providers who invoice foreign clients through a Georgian legal registration. Georgian tax residency (183+ days/year) determines whether an individual's broader worldwide income is in scope at all — the 1% rate itself applies specifically to Georgian-registered IE business turnover regardless of the holder's residency status.
Georgia's flat 20% income tax applies to Georgia-sourced income. Virtual Zone company status (for IT services sold abroad) offers 0% corporate income tax and 0% dividend tax. Many remote workers use Georgia's favorable tax environment with low effective rates.
Tax Residency Trigger
183 days/yr
183 days/yr
Worldwide Taxation
Territorial
Territorial
Renewal Cost
$0
$0

About Georgia 1% Individual Entrepreneur Tax Regime

Georgia's Individual Entrepreneur (IE) 'Small Business Status' is a tax registration, not a visa or residence permit. It lets a registered individual entrepreneur pay a flat 1% tax on gross annual turnover up to GEL 500,000 (roughly USD 180,000), with registration completed same-day, in person, at Georgia's Public Service Hall and Revenue Service, with no minimum capital and typically no legal representation required. Because it confers no immigration status on its own, it must be paired with a separate legal basis to remain in the country — for most Western nationalities that basis is simply Georgia's generous 365-day visa-free entry, which already covers around 95 countries; others need a qualifying Georgian residence permit. The regime has become one of the most popular low-tax bases in the world for location-independent consultants and freelancers, thanks to the combination of an extremely low flat rate, a same-day registration process, and Tbilisi's low cost of living. It is distinct from Georgia's broader residence-linked business/investor route (which bundles a residence permit with company formation or property investment) — this entry covers the tax registration on its own, as most digital nomads use it.

Full Georgia 1% Individual Entrepreneur Tax Regime profile →

About Georgia Remotely from Georgia Programme

Georgia's Remotely from Georgia programme offers a 1-year residence permit to remote workers earning at least $2,000/month from foreign employers or clients, with no application fee and a fully online application process. Critically, Georgia already grants visa-free stays of up to 365 days to citizens of around 95 countries (including the US, UK, EU, Canada, Australia, Israel, and most GCC states) — for those nationalities, the programme adds little practical value beyond official residence-permit status useful for opening Georgian bank accounts and signing long-term leases. It is most relevant to nationalities not on the visa-free list (most of South and Southeast Asia, much of Africa, and the Middle East outside Israel and the GCC). Georgia's flat 1% small-business tax (for individual entrepreneurs registered with annual turnover under GEL 500,000) and territorial-leaning tax system make Tbilisi popular with location-independent founders. The programme is administered by the Public Service Hall and does not itself create a path to permanent residency or citizenship — those routes require separate procedures, with naturalisation generally requiring 10 years of legal residence and Georgian-language proficiency.

Full Georgia Remotely from Georgia Programme profile →

Gotchas to Watch For

Georgia 1% Individual Entrepreneur Tax Regime

  • This is a TAX registration, not an immigration status — it grants no right to enter or remain in Georgia. Most users pair it with Georgia's 365-day visa-free stay rather than a formal residence permit
  • Exceeding GEL 500,000 annual turnover doesn't just raise the rate on the excess — in practice it can trigger loss of Small Business Status for the following period, pushing income back to standard rates; consult a Georgian accountant before scaling revenue near the threshold
  • Georgia's favourable tax treatment does not mean 1% IE holders owe no tax elsewhere — most home countries (especially the US, UK, and EU states) still tax their citizens or tax-residents on worldwide income; the 1% regime reduces Georgian tax exposure only, unless the individual has also become a non-tax-resident of their home country
  • Certain professional activities (some licensed consulting, legal, medical, and financial services) are excluded or only partially eligible for Small Business Status — confirm eligibility of the specific activity with the Revenue Service before registering
  • Georgia's separate VAT registration threshold (GEL 100,000 in trailing 12-month turnover) applies regardless of Small Business Status — many IE holders overlook that crossing it triggers mandatory VAT registration on top of the 1% turnover tax
  • Because the regime doesn't itself confer residency, it does not by itself build toward Georgia's PR or citizenship timelines — a separate residence permit is required for that clock to run

Georgia Remotely from Georgia Programme

  • Georgia grants visa-free 1 year to ~95 nationalities — most Westerners simply arrive
  • Individual Entrepreneur 1% tax regime extremely popular with remote workers
  • 6-year PR + 10-year citizenship path; Georgia does not allow dual citizenship in most cases
  • Banking strict post-2022 with Russian/Iranian/Crimean nationals due to sanctions
  • Proximity to Russia / Ukraine border creates geopolitical consideration

Neutral reference — we don't recommend one programme over another. Programmes change: always verify each detail against the official source linked on the individual program pages.