The Individual's Declaration Obligation
Individual tax preparation in Georgia rests on the rules of Article 153 of the Tax Code: a declaration on income tax is submitted to the tax organ by resident physical persons whose income is not taxed at the source of payment in Georgia, and by non-resident physical persons whose income from a Georgian source is not taxed at the source, by 1 April of the year following the reporting year. A person who has no obligation to declare may still submit a declaration with a request for the recalculation and refund of the tax.
Special deadlines are equally clear: an entrepreneur physical person who ceases economic activity submits within 30 working days a declaration on aggregate income and deductions, and a person in dissolution does so within 5 working days of the registration of the start of liquidation. Where heirs of the III and IV degree receive by gift or inheritance property valued at 150 000 lari or more within a tax year, the tax is payable over 2 calendar years.
Withholding at Source and the Tax Agent
In the case of salary the tax is usually withheld at the source by the tax agent — a legal person, enterprise, organization or entrepreneur physical person paying the salary. Under Article 154 the agent's obligations also fall on payers of pensions, scholarships, dividends, interest and royalties, and on cases of reimbursing the value of services rendered to a physical person. The withheld tax is transferred to the budget simultaneously with the payment of the sum, and where a disbursement takes a non-monetary form — by the last day of the corresponding month.
The certificate institution matters for the individual: on payment of salary the recipient may request a certificate indicating the surname, name, amount and type of income and the tax withheld; the tax organ receives a certificate on total sums no later than the 15th day of the month following the month of withholding. Where the tax was not withheld, responsibility lies with the payer of the income, though the recipient may also pay the tax and sanctions.