- Self-constructed buildings for business purposes in Georgia are subject to VAT if certain conditions are met.
- VAT applies if the building is made by the taxable person, used in economic activity, and VAT deduction is not allowed for VAT-exempt operations.
- Only construction costs are included in the VAT base; land value is excluded.
- The Ministry of Finance clarified these rules in a public ruling issued in July 2025.
Source: kpmg.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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