Former Soviet Republic of Georgia To Become IT Tax Haven

Posted by kdawson on Sunday June 20, 2010 @01:45PM from the here's-a-hint-one-of-them-is-black-and-sticky dept.

A few days ago we noted how Ukraine is driving out its software freelancers with the threat of onerous taxation. Now comes news that another former Soviet republic, Georgia, will become a tax-free zone for IT companies. It might be the Google translation, but it seems that officials there are somewhat worried about how to categorize the IT segment: "[T]he main difficulty ... is to determine which organization is the IT company, and what is not: 'While from a formal point of view it is impossible to distinguish between software developers from the oil.'"

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Re:So now our jobs go to Georgia? by Luckyo · 2010-06-20 14:35 · Score: 5, Insightful

Taxation is merely one small variable in a big formula.
Among others are:
1. Infrastructure
2. Workforce availability
3. Culture of working
4. Political stability
5. Religious stability
6. Social stability
7. Corruption
8. Legal system
etc.
If you really believe that taxation is the biggest issue, I have a zero-taxation location for you in Somalia.