khinkali said:
There is an
official announcement from the Revenue Service which is in Georgian.
In English there is a good description of what happened from
TP Solution and also some discussion from BM on the differing view of
the Government vs
their own.
expathub have an "Important Changes" section.
Where did you find this theory? I say the opposite; the Revenue Service in practice had been lenient in the past but the therory is based on the
original law which supports the RS's new view.
Note that the new approach is consistent with those in other places, such as "patent box" and "IP box" regimes in other countries - the tax break applies to locally developed IP.
The reason people were upset is that the Revenue service suddenly implemented this change of approach retroactively and wants to apply it to previous tax years without warning.
It's not my personal experience, just experience of others and announcements from the Revenue service, tax auditors and lawyers in Georgia.
My understanding is that it is the amount of the year spent in Georgia, by the people who develop the relevant IT products/services. This includes the owner if the owner is involved in the IT development. For this type of issue it is a good idea to consult a tax auditor or layer in the country.
There is a new IT Company regime which might work better for an offshore IT related company that has been established for 2+ years.
Click to expand...
