Raising the property tax threshold for individuals from GEL 40,000 to GEL 100,000 does not address fundamental problems in Georgia’s existing system, according to economic law specialist Akaki Chargeishvili.
Speaking to BM.GE, Chargeishvili said the change only raises the threshold above which individuals become subject to property tax, while leaving the underlying taxation principle unchanged. In his view, this could create a further distinction between people above and below the new threshold rather than addressing the system as a whole.
He also pointed to the fact that the current model takes household income into account when determining property tax obligations, rather than relying solely on the value of an individual’s assets. As a result, a family’s combined income can affect whether it falls within the property-tax category even when the value of its property remains below the threshold.
According to Chargeishvili, the current system therefore remains more closely linked to income than to the actual value of property. He argues that a broader reform should consider the value and type of property and other relevant criteria, rather than simply raising the threshold to GEL 100,000.
