Parliament’s Finance and Budget Committee Chairman Paata Kvijinadze has spoken out about the country’s offshore law. He says it is fully in line with international law.
The “Manival” Expert Committee studied the law in depth and found no issues with it. This means that companies from other countries are now able to set up in Georgia without breaking any laws. Kvijinadze believes this will bring more investments into the country.
Most offshore zones are controlled by Europe or the US, where major currencies like the dollar and euro are used. The law that was passed gives temporary tax breaks to companies that move from these zones to Georgia. For example, if someone owns shares in a Georgian company through an offshore company, they won’t have to pay a special transfer tax if they bring those shares into the country.
The “Manival” committee checked the law for compliance with international rules on money laundering and terrorism financing. They found no problems and confirmed that Georgia’s law meets these standards.
Kvijinadze says he doesn’t know who has benefited from the tax breaks, but he is happy if anyone has taken advantage of them. He believes this is exactly what the law was meant to do: attract more businesses and investments into the country.
