Georgia small business status turnover limit, and crossing it

What crossing it does

It is not a clean switch at the end of the year. Exceeding the limit changes how the excess is taxed and can end the status itself, so a good year can cost more than it looks if nobody is watching the running total.

If you are near the line in autumn, that is a conversation with a Georgian accountant, not something to discover in the filing.

Counting the Georgia small business status turnover limit properly

• Everything invoiced through the individual entrepreneur counts, including work for clients abroad.
• Costs do not reduce it. A reseller with GEL 480,000 of turnover and GEL 440,000 of purchases is near the limit on GEL 40,000 of margin.
• The limit is per person, because the status attaches to the individual entrepreneur rather than to a company.

Who the regime actually suits

People whose income is mostly their own labour and whose costs are small: consultants, developers, designers, writers. The arithmetic works because there is almost nothing to deduct anyway.

It suits trading businesses badly, and the reason is the same arithmetic read the other way.

Before you plan around it

Several activities are excluded from the status entirely, and the exclusions live in the Tax Code and its subordinate acts rather than in anybody's marketing. Check yours against the list before the turnover question matters at all.