Property Taxes in Georgia: What You Need to Know

If you decide to sell your apartment, note that capital gains tax on real estate sales in Georgia applies only if the property has been owned for less than two years. The rate is 20% of the profit, meaning the difference between the purchase and sale price.

If the property has been owned for more than two years, the sale is completely exempt from tax. This makes Georgia especially attractive for long-term investments — owners can hold the property, earn rental income, and later sell it tax-free.'

Property Sales and Taxation for Non-ResidentsNon-residents of Georgia are also required to pay the 20% capital gains tax if they sell their property within the first two years of ownership. However, Georgia has double taxation avoidance agreements with several countries, including Russia and Belarus. This means the same income will not be taxed twice — both in Georgia and in the owner’s home country.

If you rent out your property, the rental income tax rate is just 5%. To comply, you only need to register with the Revenue Service and file an online declaration once a year. The entire process is digital and simple.

Many investors choose to rent out apartments in Batumi and Tbilisi precisely because of this low 5% rate — it’s significantly lower than in most European and CIS countries.

Although Georgia’s tax system is straightforward, there are many nuances when buying or selling property — such as ownership duration, residency status, income sources, and international tax agreements.

A professional real estate agency can help structure the transaction correctly, calculate potential taxes, and avoid unnecessary expenses.

Want to know how to optimize your purchase and minimize taxes?
Contact our real estate agency in Batumi — we’ll help you structure the deal legally, safely, and profitably.