Property and rental income taxes in Georgia for non-residents

Georgia is known for simple, low property taxes, and that's broadly true. But low doesn't mean zero: what you pay depends on whether you rent the property out, how long you own it and your household income. Here is what a non-resident owner needs to know, with figures as of October 2026.

All taxes in one table

Who counts as a non-resident

You become a Georgian tax resident if you spend 183 days or more in the country in any continuous 12-month period ending in the tax year. Citizenship and residence permits don't affect this. Non-residents pay Georgian tax only on Georgian-source income. Rent and sale proceeds from a Georgian property are exactly that, so they are taxable even if you live elsewhere.

Property tax: the new GEL 100,000 threshold

From 30 September 2026, the exemption threshold for individuals rose from GEL 40,000 to GEL 100,000 of annual household income. The new rules already apply to 2025 income and property. If your household income last year was GEL 100,000 or less, you don't pay property tax (other than on land) and don't need to file a property tax return.

Above the threshold, the rate is 0.8% to 1% of the property's market value at the end of the previous year. The municipality sets the exact rate within that range.

An important point for non-residents: according to tax advisers, a non-resident's threshold test counts Georgian-source income, not worldwide income. Georgian rental income is included. For someone letting one or two apartments, GEL 100,000 is usually out of reach, so property tax normally doesn't arise. In borderline cases, check with an adviser.

Land is taxed regardless of income. This mainly affects owners of houses, villas and townhouses with a plot; the rate depends on land category and municipality and is usually small.

Rental income tax: 5% or 20%

Individuals who let residential property can use a reduced regime: 5% of gross rent, with no deductions. Conditions:

• the property is let for living;
• you are registered as a landlord with the Revenue Service (via your account on rs.ge);
• you don't claim expense deductions against this income.

If the conditions aren't met, the general 20% rate applies to income minus property maintenance expenses.

If the tenant is a company, by default it acts as tax agent: it withholds the tax from the rent and pays it itself.

Short-term rentals

Interpretations differ here. Some advisers say the 5% rate also covers short stays for individuals, including via booking platforms, if the conditions above are met. Others warn that regular short-term letting can be treated as a hotel business and taxed under the general rules. A special fixed tax for small accommodation providers applied only until 1 January 2026. If you plan to let by the night, especially several units, get advice before you start.

Hotel-managed apartments

In branded projects, letting is usually handled by a management company. How your income is taxed and who pays depends on your contract with it. Ask before buying: it affects your real yield.

VAT

If rental income exceeds GEL 100,000 in any 12 consecutive months, you must register for VAT (18%). That's rare for one apartment but realistic for several units in Batumi.

Tax on sale

• Owned for more than 2 years: the gain on an apartment or house (with its land) is exempt.
• Less than 2 years: 5% of the gain, i.e. the difference between sale and purchase price.
• Commercial property, hotel rooms, bare land sold within 2 years: 20%.

If you buy and sell regularly, the tax authority may treat it as a business, and the reliefs stop applying.

Deadlines and how to pay

• Income tax return (rent, sale): by 1 April of the following year.
• Property tax return: by 1 November, payment by 15 November. In 2026, because of weekends, the dates move to 2 and 16 November.
• Everything is filed through your account on the Revenue Service website, rs.ge. You need a taxpayer identification number, which you can get in person or by power of attorney.
• Foreign-currency income is converted to lari at the National Bank rate on the day it's received.

Example

You're a non-resident letting an apartment in Batumi long-term for $700 a month and registered as a landlord. That's $8,400 a year; 5% tax is $420. No property tax: your Georgian income is far below GEL 100,000. Three years later you sell for more than you paid: tax on the gain is zero.

Double taxation

Georgia has double tax treaties with many countries. Tax paid in Georgia can often be credited in your country of residence. The rules depend on the specific treaty and your home country's laws, so check with a tax adviser where you live.

This article is for information only and is not legal or financial advice. Rules and figures can change; confirm current terms before any transaction.