Georgia and Japan are discussing the possibilities of signing an agreement to avoid double taxation, announces the Ministry of Finance of Georgia.
This means that people or businesses working abroad in either country will not have to pay taxes in both countries, and will instead pay income and capital taxes in only one.
Double taxation is the levying of tax by two or more jurisdictions on the same declared income (income taxes), assets (capital taxes), or financial transaction (sales taxes). This double liability is often mitigated by tax treaties between countries.
The main goal of signing the agreement is to increase economic cooperation between Georgia and Japan and attract more foreign investments, said Georgia’s Finance Ministry.
Georgia has double taxation agreement with 56 countries.