Updated:
- 0% capital gains tax on sale after 2 years of ownership
- No more than 1% a year property tax on assessed value, no local surcharges
- Renting out a home as an individual: 5% of gross income, no expense deduction
- No wealth, inheritance, or gift tax on real estate
On Purchase
The purchase itself isn't subject to a separate tax — there's only a registration fee for the title, around ₾150–350 (see the buying process). That's not strictly a tax, but a fee for an administrative service.
On Ownership
The annual property tax (often just called "property tax") depends on the taxpayer's annual income. On 30 September 2026 Georgia's parliament adopted, in the third reading, a single income threshold of GEL 100,000 a year (the law takes effect immediately after official publication). Below the threshold no property tax is due; above it the rate is 0.8–1% of the property's market value (land plots are not part of this rate). Before the change the threshold was GEL 40,000, and income of GEL 40,000–100,000 was taxed at 0.05–0.2%. No local or municipal surcharges apply on top — unlike many European jurisdictions. How the threshold applies to non-residents and to foreign buyers without Georgian income is not clarified in the sources we checked (SOVA, OC Media, Georgia Today): confirm it with a tax advisor before you buy.
On Renting Out
On Sale
If the property was owned for more than 2 years, the capital gains tax on sale is 0%. This is one of the strongest points of Georgia's tax regime for long-term owners. Different rules apply if sold within two years — the exact rate in that case should be checked with a tax advisor for your specific situation, since it depends on the seller's status and how the deal is structured.
What Doesn't Exist at All
Georgia has no separate wealth, inheritance, or gift tax applicable to real estate for individuals. That's not a legislative gap, but a consistent part of the country's tax policy, which avoids these categories of tax altogether.
Frequently Asked Questions
What is the tax when selling an apartment in Georgia?
If the property was owned for more than 2 years, the capital gains tax is 0%. Different rules apply if sold within two years — check with a tax advisor for your specific situation.
How much is the annual property tax in Georgia?
It depends on annual income. Below the single threshold of GEL 100,000 (adopted on 30 September 2026; it was GEL 40,000 before) no property tax is due; above it the rate is 0.8–1% of the property's market value. No local surcharges. For non-residents, confirm the exact treatment with a tax advisor.
How is rental income taxed?
For a home an individual lets out for residential use, 5% of gross income with no expense deduction. If you deduct expenses, tax is calculated on the difference at the general rate. Registered individual entrepreneurs also have a small-business regime (1% of turnover) — confirm with an adviser whether it suits you.
Is there a wealth or inheritance tax on real estate?
No — neither a separate wealth tax, nor an inheritance or gift tax on real estate for individuals.
See Also
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A short summary of publications from open sources, prepared with AI; not legal or financial advice. Please check the original source.