6 November 2015

PwC Georgia Times

Issue #6
Amendments into
Georgian legislation
due to FATCA
implementation
agreement
This Newsletter focuses on
adopted amendments into
Georgian legislation due to
FATCA implementation
agreement.
Should you require further
information, please contact
any of our team members
listed below.

For any questions related to the

information included herein, please
contact:
Sergi Kobakhidze
Directir
E-mail: sergi.kobakhidze@ge.pwc.com
Anastasia Kipiani
Manager
E-mail: anastasia.kipiani@ge.pwc.com
Miranda Akhvlediani
Senior Attorney
E-mail: miranda.akhvlediani@ge.pwc.com
Teona Khosroshvili
Attorney
E-mail: teona.khosroshvili@ge.pwc.com
PricewaterhouseCoopers Central Asia and
Caucasus B.V. Georgia Branch
#7 Bambis Rigi Street
Mantashevi Business Center
0105 Tbilisi, Georgia
Tel: + 995 32 250 80 50
www.pwc.com/ge

2015 PwC. The material contained in this alert is

provided for general information purposes only and
does not contain a comprehensive analysis of each
item described. No representation/warranty is given
as to the accuracy or completeness of the
information in the publication. Before taking (or not
taking) any action, readers should seek professional
advice specific to their situation. No liability is
accepted for acts or omissions taken in reliance
upon the contents of this newsletter.

FATCA implementation in Georgia

On 18 September 2015 Georgia has ratified an agreement (FATCA
Agreement) with USA on implementation of FATCA (Foreign Account tax
Compliance Act).
The agreement defines that Georgian financial institutions are under
obligation to provide detailed information to US competent authorities on
each and all accounts that are subject to reporting to USA. For the sake of
fulfillment of the obligations Georgian Parliament also introduced specific
amendments to various legislative acts, which in turn enters in force upon
their publication.
The FATCA Agreement provisions implementation mainly affect commercial
banks, insurance companies, micro financial organizations, Revenue Service,
National Bank of Georgia. The new amendments defines obligations for each
of the listed sectors. For example:

Commercial banks have the obligation to have the information on their

clients according to requirements of FATCA Agreement when opening
account or inspecting the operations. In the absence of mandatory
documentation banks have the right to reject opening an account;

Insurance companies are under obligation to define the tax residency of

the insured/insurer/beneficiary. Insurance company can also reject the
insurance, if they are not provided with the required information as
defined by FATCA Agreement;

Financial institutions of Georgia are obliged to provide the information

defined by FATCA Agreement to Revenue Service and Revenue Service
should transfer this information to competent authorities in USA.

National bank of Georgia has the authorization to examine the compliance

of financial institution with FATCA Agreement.

(Source: http://parliament.ge/ge/law/10583/26357)

6 , 2015.

PwC Georgia Times

#6

FATCA-

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,
:

-: sergi.kobakhidze@ge.pwc.com

-: anastasia.kipiani@ge.pwc.com


-: miranda.akhvlediani@ge.pwc.com

-: teona.khosroshvili@ge.pwc.com

. .-

. #7

0105,
.: +995 322 50 80 50
www.pwc.com/ge

2015 PwC.


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