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Georgia Virtual Zone for IT

0% Corporate Tax on IT Services Income via Georgia's Virtual Zone

Georgia's Virtual Zone (IT Zone) status allows qualifying IT companies to pay 0% corporate income tax on profits earned from providing IT services to non-Georgian clients. Combined with a 5% dividend withholding tax and Georgia's low operating costs, the Virtual Zone is one of the world's most competitive tax regimes for technology companies and remote software teams.

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Who this is for

  • Software developers, SaaS companies, and IT consultancies with non-Georgian clients
  • Tech founders who want to incorporate in Georgia and benefit from the 0% IT zone tax
  • Remote software teams looking to establish a Georgian entity for payroll and client invoicing
  • Nomadic IT professionals combining Georgia's Small Business Status with a Virtual Zone company
Pricing
From $599

Georgia government fees are minimal (under $100 USD). Annual compliance and accounting fees apply.

Register My Georgia IT Company

What's included

How it works

Step 1

Eligibility assessment

We confirm your IT services qualify for Virtual Zone status (software development, SaaS, IT consulting, and similar activities qualify).

Step 2

Company registration

We register a Georgian LLC (Shpk) with the NAPR. Georgian company formation typically takes 1-3 business days.

Step 3

Virtual Zone application

We apply for Virtual Zone status with the Revenue Service of Georgia. Approval typically takes 2-4 weeks.

Step 4

Bank account opening

We assist with corporate bank account opening at TBC Bank or Bank of Georgia.

Frequently asked questions

What is Georgia's Virtual Zone?

Georgia's Virtual Zone (also called IT Zone) is a special tax regime for companies that provide information technology services. Qualifying Virtual Zone entities pay 0% corporate income tax on profits from IT services provided to non-Georgian clients. Dividends paid to non-resident shareholders are subject to 5% withholding tax (reduced from the standard 5% CIT plus 5% dividend tax). The effective tax rate on profits distributed as dividends to a non-resident shareholder can be as low as 5%.

What activities qualify for Georgia Virtual Zone status?

Georgia's Virtual Zone covers IT services including software development, SaaS product development, IT consulting, cybersecurity services, data processing, and related IT activities. IT training, e-commerce, and digital marketing are generally not covered. Revenue Service of Georgia reviews each application and confirms whether the company's activities qualify before granting Virtual Zone status.

Can I combine Virtual Zone status with Georgia Small Business Status?

The Virtual Zone applies to companies (Georgian LLCs and JSCs), while Small Business Status applies to Individual Entrepreneurs (IEs). They are separate regimes for different entity types. Some IT professionals use a Georgian LLC with Virtual Zone status for their company, and separately register as an IE with Small Business Status for personal consulting income. We advise on the optimal structure for your situation.

Do I need to be physically present in Georgia to use the Virtual Zone?

The company must be registered in Georgia and have genuine substance (a real business address, at least minimal local presence), but the directors and employees do not need to be Georgian residents. Many founders register a Georgian Virtual Zone company while living abroad, though operating the company entirely remotely without any Georgian presence can create substance risk. We advise on what constitutes sufficient presence for your specific setup.

Ready to get started?

Fixed price, real-time tracking, and expert handling, from first document to final approval.

Register My Georgia IT Company

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