What tax do you pay on renting out an apartment in Georgia?
Income tax rate on residential rent.
Short answer
An individual pays 5% income tax on rent from letting out a home for residential use when no expenses are deducted from that income. This rule is in Article 81 of the Tax Code of Georgia. The general income tax rate for individuals is 20%.
Why
- Income tax rates for individuals are set by Article 81 of the Tax Code of Georgia.
- The general rate is 20%, while rent from residential property let for residential use with no deducted expenses is taxed at 5% (Article 81, paragraph 2).
Details
Under Article 81, paragraph 2 of the Tax Code of Georgia, an individual's income from which no expenses are deducted is taxed at 5%. The general 20% rate is in paragraph 1 of the same article. Other taxes are covered here: What are the taxes and VAT in Georgia?
If you let property regularly and are thinking about a separate status, see: How do you open and close a sole proprietorship in Georgia?
Tip
Before letting a home, ask the Revenue Service how to pay tax on rent: phone 2 299 299 or the rs.ge website.
What may differ
The 5% rate applies to income with no expense deductions. The Code is amended from time to time; the edition on matsne.gov.ge was checked on 10 November 2026, so confirm on rs.ge or with a lawyer before letting.
Common misconception
If you let an apartment as a private person, you owe no tax.
What actually happens
Tax is due: under Article 81 of the Tax Code, an individual's rent from housing with no expense deductions is taxed at 5%.
People also ask
- How much tax is paid on rental income in Georgia?
Sources
- Tax Code of Georgia (matsne.gov.ge)Checked at:
This answer is for reference only and is not legal advice. Rates and rules change, so check rs.ge.
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