Automatic Tax Information Exchange (CRS) in Georgia
Georgia participates in the Common Reporting Standard (CRS) – the international system for automatic exchange of tax information coordinated by the OECD, which has functionally eliminated "bank secrecy" for tax evasion. This means: Georgian banks annually report account information of foreign account holders to their home tax authorities. For taxpayers from CRS-participating countries (EU, UK, USA via FATCA, Australia, Japan, and many more), Georgian bank accounts are not tax-anonymous.
What CRS Means
The Common Reporting Standard (introduced in 2014 by the OECD, implemented in Georgia from 2019) requires financial institutions to annually report the following information to the Georgian Revenue Service, which in turn automatically forwards it to the tax authorities of home countries:
- Name, address, and tax identification number of the account holder
- Account number and account balance at year end
- Total interest, dividends, and other income on the account
- Total gross proceeds from disposals during the year
This applies to personal and corporate accounts.
Practical Consequences for Expats
- Taxpayers from EU countries: Germans, Austrians, Swiss, and other EU citizens must declare their Georgian accounts and income in their home tax return, as tax authorities automatically receive the information. Anyone assuming Georgian accounts are outside the view of home authorities is mistaken.
- US taxpayers: The US does not participate in CRS, but has FATCA (Foreign Account Tax Compliance Act) – its own system with similar obligations. Georgian banks cooperate with FATCA.
- Persons with Georgian tax residency: Those who are tax resident in Georgia (more than 183 days/year) benefit from Georgia's flat income tax (20%) and can use legal tax optimization. But transparency toward the home country remains.
Georgia's Tax Policy in Context
Georgia is not designed as a tax haven: CRS participation is unambiguous. At the same time, Georgia offers legitimate tax advantages: 0% corporate tax on reinvested profits (Estonian Model since 2017), low income tax, no capital gains tax on cryptocurrencies for individuals (as of 2024). These benefits are legal and transparent – no hiding.
Conclusion: Georgia's CRS participation means full tax transparency for foreign account holders. Anyone using Georgian bank accounts for tax evasion will be discovered. Anyone wishing to use Georgia's genuine legal tax advantages (e.g., through relocating residence and actual residency) can do so within the legal framework.
This article was created on May 5, 2026
