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IETravel & Tourism Agency

Individual Entrepreneur in Georgia — Travel & Tourism Agency Formation Guide

Choose a jurisdiction with favorable VAT rules for tour operators (like the EU's TOMS) and easy access to multi-currency merchant accounts to handle international bookings.

Last verified: June 13, 2026

Corporate Tax

1.0%

State Tax

0.0%

Formation Cost

$10

Annual Fee

$0

Forming a Individual Entrepreneur in Georgia as a Travel & Tourism Agency means a total tax burden of 1.0% and an official formation cost of $10. There is no minimum capital requirement. Standard formation takes 2-3 business days, or 1 business day expedited. No local director is required; the process can be managed remotely. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$845

Ongoing (per year)

$510

Detailed cost calculator →

Why Individual Entrepreneur for Travel & Tourism Agency?

A business model focused on organizing, booking, and selling travel, accommodation, and tour packages to individuals or groups. Requires robust payment processing and often specific local licensing.

Ideal for

  • Tour operators
  • Boutique travel planners
  • Corporate travel managers
  • Online travel agencies (OTAs)

Challenges to watch

  • Strict local licensing and bonding requirements
  • High chargeback risks in payment processing
  • Complex cross-border VAT and tax compliance
  • Seasonal revenue fluctuations

Key decision criteria

  • Does the jurisdiction require a specific travel agency license?
  • Can you easily open a merchant account that accepts high-volume, high-ticket international payments?
  • What are the consumer protection and liability laws?
  • How does the jurisdiction tax international travel packages?

Individual Entrepreneur formation requirements

Minimum capital

None

Standard timeline

2-3 business days

Expedited timeline

1 business day

Local director

Not required

Registered office

Virtual office allowed

Notarization

Required

100% foreign ownership is allowed. No local partner or resident director is needed.

See the full guide for all documents and requirements →

Estimated breakdown (based on avg. $250,000 revenue)

Gross Revenue$250,000
Corporate Tax-$2,500
Formation Cost-$10
Annual Fee-$0
Net Profit$247,490

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 18%. Registration threshold: 100,000 GEL. Non-resident companies providing B2C digital services in Georgia must register and charge 18% VAT. B2B transactions fall under the reverse charge mechanism.

Banking & payments for Travel & Tourism Agency

Opening a bank account in person is straightforward and usually takes 1-3 days. Remote opening is possible via a notarized and apostilled Power of Attorney, though banks have increased KYC scrutiny for non-residents. Multi-currency accounts (GEL, USD, EUR, GBP) are issued by default.

Supported payment gateways

PayPal2CheckoutPaddleUniPAYPayze

Remote-friendly accounts

  • Bank of Georgia

    One of the largest banks in Georgia. Offers excellent digital banking, multi-currency accounts, and premium 'SOLO' banking. Remote opening is possible via Power of Attorney.

  • TBC Bank

    A major traditional bank with strong business tools and a premium 'Concept' tier. Supports remote account opening via Power of Attorney.

  • Payoneer

    A global fintech widely used by Georgian IT contractors and freelancers to receive USD/EUR payments from international clients.

Georgia incentives & advantages

Small Business Status (SBS)

1% tax rate on gross revenue instead of the standard 20% personal income tax.

0% VAT on Exported IT Services

No VAT is charged on invoices to foreign clients, increasing international competitiveness.

Individual Entrepreneur formation steps

1

Draft and notarize a Power of Attorney (PoA) and passport copy, then apostille or legalize them in your home country.

2

Send the physical apostilled documents via international courier to your representative in Georgia.

3

Secure a registered legal address in Georgia (usually provided by a local agency) and obtain the property owner's consent.

4

Your representative translates the documents into Georgian and notarizes the translation locally.

5

File the Individual Entrepreneur registration application at the Public Service Hall (House of Justice).

6

Once registered (usually 1-2 days), apply for the Small Business Status at the Revenue Service to activate the 1% tax rate.

7

Open a multi-currency corporate bank account (GEL, USD, EUR) at a local bank like Bank of Georgia or TBC.

Travel & Tourism Agency FAQ

Do I need a special license to start an online travel agency?

In most jurisdictions, yes. Countries often require travel agencies to hold specific licenses, post financial bonds, or join consumer protection schemes to legally sell travel packages.

Which country is best for incorporating a travel agency?

It depends on your target market. If targeting EU customers, incorporating in an EU country like Estonia or Cyprus is beneficial for regulatory alignment. For global, low-regulation setups, some founders choose US LLCs, though payment gateways may still require proof of local compliance.

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