Intra-company transfer represents a specialized legal process through which international companies can temporarily relocate their employees (managers, specialists, trainees) to a Georgian branch or subsidiary for work. This process differs from standard new employee hiring as it involves global mobility, tax residency, and corporate law issues. Georgian legislation encourages the attraction of highly qualified personnel, yet intra-company transfers require strict documentary proof of the link between the foreign headquarters and the Georgian entity. The aim of this service is to ensure that global companies manage human resources across borders seamlessly, in full compliance with Georgian immigration and labor laws.
Our intra-company transfer service is comprehensive and includes:
- Corporate Structure Analysis: Validating documentary links between the headquarters and the Georgian representative office/subsidiary.
- Transfer Documentation: Preparing legal documents (assignment letter, service agreement) defining the employee's status in Georgia.
- D1 Visa and Residency: Obtaining a specialized D1 visa based on intra-company transfer, which often implies a streamlined regime for qualified personnel.
- Tax Planning: Utilizing double taxation avoidance treaties and determining the employee's tax residency.
- Family Relocation: Securing visas and residence permits for the transferred employee's spouse and children.
- Social Security: Analyzing the obligation to participate in the Georgian pension scheme for the foreign employee.
Intra-company transfers are relevant in the following situations: For example, a German manufacturing company opens a factory in Kutaisi and sends a chief engineer for 2 years to set up the production process. Second case: An American IT corporation expands its Tbilisi office and sends a regional manager to lead the team. Third: An international bank rotates employees to share experience. Fourth: An auditing firm sends a consultant to Georgia for a 6-month temporary project.
Legal regulations: The "Law on the Legal Status of Aliens and Stateless Persons" provides for the D1 category for employment activities. During an intra-company transfer, the "Law on Entrepreneurs" regulating branch status is significant. Also crucial are the Tax Code of Georgia and international agreements on avoiding double taxation, as the employee might remain on the foreign company's payroll but physically work in Georgia, creating tax liabilities (risk of permanent establishment).
The process begins with a corporate decision on the transfer. An assignment letter or local employment contract is prepared. It is necessary to prove that the person has indeed worked for the parent company (usually for at least 6 months). Then the visa application is submitted. It is important to demonstrate that this is a transfer of qualified personnel. After receiving the visa, the person obtains a residence permit. The lawyer's role is to ensure that the transfer is not treated as a new vacancy requiring local market research (although database registration is still mandatory).
Legal.ge is a trusted partner for global business. Our lawyers will help you manage complex international mobility schemes so your company can effectively allocate talent without any legal disruptions. We care about the continuity of your business.
Updated: ...