Minister of Finance introduced new tax initiatives to entrepreneurs working in Samegrelo-Zemo Svaneti

Today, on March 29, Minister of Finance Mamuka Bakhtadze met with small business entrepreneurs in Zugdidi, where he talked about new tax initiatives.

At the meeting Mamuka Bakhtadze and Deputy Minister Lasha Khutsishvili gave detailed information to the entrepreneurs about the reform and answered their questions.

"This is an unprecedented event  in the history of the world economy in terms of tax returns.tax reduces five times from 5% to 1%  when the margin for small and medium entrepreneurs is growing five times." Samegrelo has a very good potential to use this tax reform very well. We see significant progress in tourism growth in Samegrelo region, the biggest infrastructural project is implemented here- Anaklia's deep water port, where I hope that the small and medium business can realize its potential. We think that the meetings that we held in different regions of Georgia were very profitable to make this principle important reform-the Minister said.

Together with entrepreneurs, Samegrelo-Zemo Svaneti governor, MPs and municipalities attended the meeting.

Within the new tax initiative aimed at promoting small business, regulations regarding taxation are changing.

Organization of economic activity (LEPL), in fact, will be exempted from profit tax.

Special norms for taxation of a long-term contract will be canceled.

VAT will release technical services for aircraft within the Georgian state border.

In order to encourage the transportation of exports from Georgia, the importer shall be entitled to regain the amount of 100% of the excise paid on the motor and motorcycle, if the export of the mentioned vehicle will be exported within 90 days.

Imported vehicles for personal use of persons with disabilities shall be fully exempt from excise.

From January 1, 2023, the transition to the new model of profit tax for the financial sector - banks, credit unions, insurance organizations, microfinance organizations and pawnshops will be suspended.