How to pay a contractor in Georgia
A foreign company can hire a person in Georgia as an independent contractor: no local entity and no payroll on your side. The person registers at home and, under small business status, pays 1.0% of a $1,000 invoice in tax.
- Agree the work and sign a contractor agreement. Scope, monthly fee, currency, notice, confidentiality and who owns the work. The person sets their own working methods and uses their own equipment, which are signs of contractor status; the full test depends on local law and on how the work is actually done.
- Check how the person is registered in Georgia. A foreign client signs a contractor agreement and pays the invoice gross; the Georgian entrepreneur declares and pays the turnover tax.1234
- Receive a monthly invoice. In USD or EUR. At the 2026-11-12 rate5 a $1,000 invoice is GEL 2,593; the person converts on their side and nothing is withheld on yours.
- Pay it. Through a contractor platform that also keeps the agreement and invoices (Remote from $29, Deel from $49 a month)67, or by bank transfer, for example Wise from 0.23% on major currencies8 (check the price of the route to GEL).
- Keep the records. The signed agreement, invoices and payment receipts; a US company also keeps the person's Form W-8BEN, which records their foreign status.
Ways to pay a contractor in Georgia
| Way to pay | Price | Per |
|---|---|---|
| Remote, Contractor Management6 | from $29 | per contractor per month |
| Remote, Contractor Management Plus6 | from $99 | per contractor per month |
| Remote, Contractor of Record6 | from $325 | per contractor per month |
| Deel, Contractors7 | from $49 | per contractor per month |
| Deel, Contractor of Record7 | from $325 | per contractor per month |
| Oyster, Global Contractors9 | from $29 | per contractor per month |
| Wise, International transfer8 | from 0.23% | of the amount sent, on major currencies; check the route to GEL |
What the contractor pays in Georgia
| Invoice a month | Individual entrepreneur with small business status | Micro business status | Individual entrepreneur, general regime |
|---|---|---|---|
| $500 (GEL 1,297) | $5 (1.0%) | $0 (0.0%) | $100 (20.0%) |
| $1,000 (GEL 2,593) | $10 (1.0%) | $0 (0.0%) over ceiling | $200 (20.0%) |
| $1,500 (GEL 3,890) | $15 (1.0%) | $0 (0.0%) over ceiling | $300 (20.0%) |
| $2,500 (GEL 6,483) | $25 (1.0%) | $0 (0.0%) over ceiling | $500 (20.0%) |
Under small business status the share that goes to tax stays almost flat across these invoice sizes: 1.0% of a $500 invoice, 1.0% of $2,500. For scale, the average wage in Georgia was GEL 2,389 a month in Q2 2026 (about $921)10.
Roles whose activity may fall outside a regime here: executive assistants, administrative assistants, virtual receptionists, office managers, customer support specialists, e-commerce order specialists, data entry specialists, bookkeepers, payroll specialists, accountants, medical administrative assistants, paralegals, HR assistants, recruiters, marketing specialists, project coordinators, sales development representatives. Their pages show what changes.
The regimes, in the sources' words
- Individual entrepreneur with small business status1234. 1% of turnover while annual turnover stays under GEL 500,000; 3% once annual turnover exceeds GEL 500,000. The status is kept until year-end after the ceiling is exceeded; exceeding it two years in a row revokes the status on 1 January of the third year. Excluded activities include legal and notarial services, tax or audit consulting, advisory and financial services, staffing services, licensed activities, gambling and excise goods.
- Micro business status111. Individuals with annual turnover under GEL 30,000 and no employees who register as a micro business are exempt from tax on business income. Excluded activities (secondary source): consulting, IT and digital services, translation, remote project work, cross-border services and any activity earning money from abroad; solo work only. Other secondary sources cite Government Resolution No. 415 for licensed, legal, notarial, audit and consulting exclusions and for employment-like work.
- Individual entrepreneur, general regime1. Personal income is taxed at a flat 20%.
Limits to watch
- $16,067 a month (GEL 500,000 a year): the small business ceiling (1% up to it, 3% above).
Questions
How do I pay a contractor in Georgia?
Sign a contractor agreement, receive a monthly invoice in USD or EUR and pay it through a contractor platform or a bank transfer. The person pays tax in Georgia under Individual entrepreneur with small business status: 1.0% of a $1,000 invoice.
Do I withhold tax for a Georgian contractor?
A US company paying a non-US person for work done outside the US does not withhold US tax; it keeps Form W-8BEN on file and pays the invoice gross, and the contractor declares and pays in Georgia. Other countries' rules differ.
Not tax or legal advice: rates depend on the person’s registration and activity. Corrections: hello@silkstaff.com.
Sources
11 sources, with links
- PwC Worldwide Tax Summaries, Georgia, Individual - Taxes on personal income: taxsummaries.pwc.com
- Andersen Georgia: What is Georgia's Small-Business Status: ge.andersen.com
- PwC Worldwide Tax Summaries, Georgia, Individual - Other taxes (pension contributions): taxsummaries.pwc.com
- Revenue Service of Georgia: rs.ge
- National Bank of Georgia, official exchange rate 2026-11-12: nbg.gov.ge
- Remote pricing: remote.com
- Deel pricing: deel.com
- Wise Business pricing (US) (board/facts.py WISE): wise.com
- Oyster pricing: oysterhr.com
- Geostat, average monthly nominal wage, Q2 2026: geostat.ge
- Gegidze: Micro Business Status in Georgia, 0% tax: eligibility and restrictions: gegidze.com
How these pages are built: methodology and data sources. Last updated 2026-11-12.