Georgia is considering a significant change to the property-tax rules for individuals.
A bill introduced in Parliament on September 28 would increase the annual family-income threshold for full exemption from property tax on taxable property — excluding land — from GEL 40,000 to GEL 100,000.
Parliament is considering the amendment under an expedited procedure. The proposal would also apply to property tax that is due to be declared in 2026.
Read the official announcement from the Parliament of Georgia
What Would Change?
Under the current framework, taxable property owned by an individual — excluding land — can qualify for exemption when the relevant family income does not exceed GEL 40,000 per year.
The proposed amendment would raise that threshold to GEL 100,000.
According to information presented alongside the initiative, approximately 81,000 individuals could become exempt from property tax if the amendment is adopted.
1TV — Property-tax threshold proposal
The change does not apply to land, which remains subject to separate property-tax rules.
It is also important to distinguish annual property tax from other taxes that may arise from renting, selling or otherwise generating income from real estate.
What It Means for Property Owners
For some individual property owners, the higher threshold could reduce annual ownership costs.
The change may be particularly relevant to people whose family income falls between the existing GEL 40,000 threshold and the proposed GEL 100,000 threshold.
However, tax liability depends on individual circumstances, including how family income is calculated and which assets fall within the taxable-property rules.
Owners should therefore avoid treating the GEL 100,000 figure as a universal exemption applying to every real estate situation.
Why It Matters for Batumi
Batumi has a large market of individually owned apartments, including second homes and properties used for rental income.
Changes to annual property-tax rules are therefore relevant to both existing owners and buyers calculating the long-term cost of holding an apartment in Georgia.
However, annual property tax is only one component of property economics. Buyers should also consider maintenance, building management, utilities, rental-management costs and any taxes associated with income or a future sale.
Our View
The proposed change is primarily relevant as an ownership-cost update.
It should not be interpreted as a reason for property prices to rise or fall, but it may change annual tax obligations for some individual owners.
Because the amendment is still moving through the legislative process, property owners should verify the final adopted wording before making tax calculations or financial decisions.
Sources
- Parliament of Georgia — Property-Tax Amendment, September 28, 2026
- 1TV — Property-Tax Threshold Proposal
- Tax Code of Georgia — Matsne
Editorial note: The amendment described in this article was under legislative consideration at the time of publication. Tax treatment depends on individual circumstances. This article is for general information and does not constitute tax advice.
