Georgia Abolishes the 40,000 GEL Property Tax Threshold: Parliament Passes the Law in Final Reading

The Parliament of Georgia passed the Tax Code amendment on property tax in its third and final reading on 30 September 2026. According to the Parliament of Georgia, 91 MPs voted in favour. The bill was presented by Paata Kvizinadze, chair of the Finance and Budget Committee.

What changes

The law removes the multi-tier system with the 40,000 GEL family income threshold and keeps a single threshold of 100,000 GEL. Families whose annual income is below it are fully exempt from property tax on their apartments, houses and other taxable property.

Families earning more than 100,000 GEL keep paying, and the rate does not change. As SOVA and Interpressnews report, it stays between 0.8% and 1% of the market value of taxable property, excluding land plots.

Who it affects

The Parliament of Georgia estimates that about 81,000 families will be released from the tax. SOVA and Interpressnews add that in 2025 these taxpayers paid 22.3 million GEL in property tax in total.

The property tax in Georgia is charged on the same terms to citizens and foreigners, so the change covers foreigners who own real estate in the country. It does not depend on whether you are a tax resident of Georgia.

From when

In the first reading the bill passed on 29 September, and Parliament then adopted it under an accelerated procedure. According to the Parliament of Georgia, the new threshold already applies to the property declarations due in 2026.

If your family income for the year is between 40,000 and 100,000 GEL, you will not owe property tax for this year once the law takes effect.

The law has passed all three readings. It now needs the signature of the President and takes effect on the day of its official publication.

Update 03.10.2026. Property Tax Declarations in Georgia Are Due by 2 November: The 100,000 Lari Threshold Is Now in Force