How to declare taxes when renting out your apartment in Georgia

Declaring taxes when renting property in Georgia — practical guide 📑

Renting out an apartment in Batumi or elsewhere in Georgia is a common way to earn income. To keep the process safe and sustainable, document your rent, keep proper records, and declare income according to local procedures. This guide gives clear, practical steps for owners and investors.

1) Understand your situation

Start by clarifying whether you rent as a private individual or via a company, whether you are a resident of Georgia, and whether the lease is short-term or long-term. Each case may have different reporting requirements and options.

2) Prepare a clear rental agreement ✍️

• Use a written contract that specifies rent amount, payment frequency, payment method, deposit terms, and responsibilities for utilities and repairs.
• Keep copies of tenant identification and signed agreements—these are useful proof in audits.

3) Keep proper documentation of income

Prefer bank transfers for rent payments—these create a traceable record. Keep bank statements, invoices, and any receipts that show the dates and amounts of rental income.

4) Track deductible expenses

Maintain invoices and receipts for repairs, maintenance, management fees, and other costs directly related to the rental. Proper documentation helps reduce your taxable base where local rules allow deductions.

5) Filing and deadlines — what to expect

Tax rules and filing formats change. Typically, rental income is included in annual declarations. Learn the exact filing procedure and deadlines from the local tax authority or an accountant, and submit your documents on time.

6) Legal and tax optimization tips (legally) 🔎

• Keep detailed records to support any expense claims.
• Consider a property manager to formalize receipts and improve compliance.
• If you own multiple rentals, consult a professional about the best legal structure for ownership and reporting.

7) Mistakes to avoid ❗

• Relying solely on cash payments without documentation increases the risk of fines and makes future transactions (like selling or getting a mortgage) harder.
• Missing or losing receipts prevents you from substantiating expense claims.
• Informal agreements without clear terms reduce your legal protection.

8) Landlord checklist — quick action list

1. Sign a written rental contract.
2. Receive rent by bank transfer where possible.
3. Keep organized records of income and expenses.
4. Prepare documents for annual tax filing.
5. Consult a local accountant for the first rental or when expanding.

Final notes and how BuyHome can help 🤝

Declaring rental income in Georgia is manageable if you follow basic rules: document payments, keep records, and consult professionals when needed. If you want help with contracts, setting up payment tracking, or finding a local accountant, contact us at BuyHome. Visit https://buyhome.ge/en or our search page to see properties and services.

We’re ready to assist you with renting and tax questions — contact us for a friendly consultation.