Introduction: Guarantor of Smooth Business Functioning
Monthly bookkeeping services are the backbone of any legal business in Georgia. According to legislation, all registered entities (LLC, Individual Entrepreneur, etc.) are obliged to maintain records and submit declarations to the Revenue Service (RS.ge). For small and medium-sized businesses, hiring an in-house accountant is often not cost-effective, so outsourced bookkeeping services are the best solution. A qualified accountant not only calculates taxes but also protects the business from fines, ensures financial transparency, and provides management with accurate information about the current financial status. This service allows the business owner to focus on growth instead of getting lost in the labyrinth of the tax code.
What Does Monthly Bookkeeping Cover?
The service covers the full administration of a company's financial activities month to month. The main components are:
- Processing Primary Documentation: Systematization and software entry of invoices, waybills, acceptance acts, and bank statements.
- Tax Declaration: Preparation and submission of monthly declarations (VAT, Income Tax, Pension, Excise, etc.) on RS.ge.
- Payroll Calculation: Calculating employee salaries, vacation, and sick leave, and determining relevant taxes.
- Pension Agency Administration: Enrolling/removing employees in the pension scheme and submitting declarations.
- Banking Operations: Preparing transfers in internet banking (subject to client authorization).
- Financial Reporting: Preparing Profit & Loss (P&L) statements and balance sheets for management at the end of the month.
Common Situations and Scenarios
For a newly founded company, the correct start is most critical—registering as a VAT payer, setting up a cash register, and choosing an accounting policy. An accountant handles all this from the start. A second scenario is an operating business that wants to optimize costs and chooses a service company or freelancer instead of a staff accountant. Also, it is common for a company to have seasonal activities (e.g., tourism) and need flexible accounting services tailored to its activity level. Another situation is when a business receives a grant or loan, and the bank requests immediate, accurate financial reporting, which is impossible to prepare without a professional.
Georgian Legal Framework
Monthly bookkeeping is based on the Tax Code of Georgia, which defines tax types, rates, and payment deadlines. For example, the deadline for submitting VAT and income tax declarations is the 15th of every following month. Accounting methodology is regulated by the "Law of Georgia on Accounting, Reporting and Auditing", which obliges entities to observe International Financial Reporting Standards (IFRS for SMEs). Also, regarding labor remuneration, the Organic Law of Georgia "Labor Code of Georgia" and the "Law on Funded Pensions" are important.
Process: How Does Outsourcing Work?
The work process is simple and efficient. During the month, the client electronically (via email, cloud service) provides the accountant with primary documentation (receipts, invoices). The accountant processes this information in accounting software. After the month ends, before the 15th, the accountant prepares declarations and uploads them to RS.ge. Parallelly, they calculate taxes payable and inform the client so they can transfer funds to the budget on time. Periodically (by agreement), financial reports are presented to the owner so they know how much profit the company has made.
Why Choose a Specialist on Legal.ge?
On Legal.ge, you will find experienced and certified accountants working with modern standards. Our platform allows you to compare offers from different specialists and choose the one that best suits your business specifics and budget. Here you will find professionals who take responsibility for the accuracy of their work. Entrust your bookkeeping to Legal.ge specialists and have peace of mind in your relations with tax authorities.
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