Intra-Company Transfer is a procedure where an international company temporarily sends its employee (manager, specialist, or trainee) to work in a branch or subsidiary in Georgia. This process differs from standard hiring because, in many cases, the employee maintains a connection with the head office, although their physical workplace and tax residency change. Obtaining a residence permit during an intra-company transfer requires specific documentation proving the link between the foreign head office and the Georgian entity. Legal.ge offers full legal support to international companies and their employees to ensure the transfer process proceeds smoothly and in full compliance with Georgian legislation.
What does this service cover?
Specialists on Legal.ge ensure the management of all stages of the corporate transfer:
- Corporate Link Documentation: Preparing documents proving the legal connection between the head office and the Georgian branch (founder's decision, charter).
- Assignment/Transfer Letter: Drafting an official letter from the head office confirming the employee's qualifications, the purpose of the transfer, and its duration.
- Local Employment Contract: Executing a contract with the local entity compliant with the Labor Code of Georgia, which is necessary for the residence permit.
- Turnover Requirement Analysis: Checking the financial indicators of the Georgian branch to meet the 50,000 GEL turnover requirement per foreigner.
- Immigration Visa and Residence: Obtaining a D1 visa (if necessary) and submitting the labor residence permit application.
- Tax Consultation: Determining the employee's tax residency and addressing double taxation avoidance issues.
Common Scenarios and Needs
Intra-company transfers are common for global businesses:
- Management Rotation: An international bank or audit firm sends a manager to the Tbilisi office for 2 years to streamline processes.
- Sharing Technical Expertise: A foreign construction company sends engineers to Georgia to implement a large infrastructure project.
- Branch Opening: A company opens a new representation and sends experienced staff from the head office to manage the startup phase.
- Training and Upskilling: Employee exchange programs within the corporation.
Georgian Legal Framework
During an intra-company transfer, a residence permit is issued based on the Law of Georgia on the Legal Status of Aliens and Stateless Persons as a Labor Residence Permit. The Law of Georgia on Entrepreneurs is important for regulating the status of the branch. Even though the employee is transferred, Government Resolution No. 280 still requires the receiving organization (Georgian branch) to have sufficient turnover (50,000 GEL per foreigner). Additionally, the Tax Code of Georgia determines that if a person stays in Georgia for more than 183 days, they become a tax resident of Georgia.
Step-by-Step Process
The process begins with preparing and translating corporate documents. Then, an employment relationship is formalized with the local branch. It is necessary to obtain information from the Revenue Service regarding the branch's turnover and the employee's salary. After this, the lawyer uploads the application to the Public Service Development Agency portal. The Agency verifies both the company's financial status and the employee's qualifications. Upon completion of the process, an electronic residence card is issued.
Why Legal.ge?
Intra-company transfer involves not only immigration but also corporate and tax law issues. Legal.ge connects you with lawyers who have a comprehensive vision and experience with international businesses. With our help, you ensure your company's HR policy complies with Georgian legislation, avoiding fines and bureaucratic delays.
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