2021-01-09
Targeted support to companies continues!
The Tax Code of Georgia has been amended in support of businesses and it is now possible to benefit from a compensation package and tax concessions.
Taxpayers operating in the tourism sector get a waiver from a property tax in 2021. It also applies to hotels, restaurants and others. This tax concession will cover over 1000 companies employing over 30 000 individuals.
Also, taxpayers engaged in the referred economic activity (tourism sector, hotels, restaurants and others) get entitled to decline on the payment of taxes deferred in February-May of the last year to make sure that they keep their employees.
Amendments made to the Tax Code of Georgia will enable hotels operating in Bakuriani, settlement of Borjomi Municipality, Gudauri village of Kazbegi Municipality, Goderdzi ski resort in Khulo Municipality and Mestia settlement of Mestia Municipality to defer personal income taxes (PIT) due for November and December of 2020 without interest accrual till July 1, 2021. This tax concession will cover over 100 companies.
Personal income tax (PIT) concessions imposed for 6 months from December 1, 2020 will continue. Employers will be entitled to decline the payment of PIT for salaries paid up to 750 GEL (applicable to gross salaries up to 1500 GEL). Tax concession will cover over 550 000 individuals employed at over 42 000 companies.
VAT will apply to actual payments of taxes for property lease/rental for 6 calendar months from December 1, 2020.
VAT refunds have been fully automated from November 2020 thus enabling taxpayers to benefit from their tax credits in the volume of over one billion GEL in 2021.