The Parliament of Georgia has approved amendments to the Tax Code in the third reading, which revise the customs clearance fees for imported light vehicles in Georgia and increase the excise tax rate for cars older than 6 years.

The bill amending the tax legislation was passed with 72 votes in favor and 11 against.

The amendments to the Tax Code were initiated by MPs from the “Georgian Dream” faction. According to the new law, the excise tax rate is set at 1.5 GEL per 1 cm³ of engine volume for vehicles aged 0 to 6 years (inclusive), while for vehicles older than 6 years, the excise tax rate is set at 4.5 GEL per 1 cm³ of engine volume.

According to the adopted bill, the existing paragraph in the Tax Code that established excise tax rates for vehicles is abolished. At the same time, new articles are added to the tax legislation that define special rates different from the basic rate. Specifically, the preferential rate — reduced by 60% compared to the basic rate — will be maintained for hybrid vehicles, while for right-hand drive vehicles, the rate is set at three times the basic rate. For electric light vehicles with a right-hand steering wheel, the excise tax rate will be 3,000 GEL.

The transitional provisions of the bill stipulate that vehicles imported into Georgia before April 2, 2026, or whose transportation from a foreign country for the purpose of import into Georgia began before April 2, 2026, will be subject to the current excise tax rates in the customs clearance procedure until the new law enters into force. Additionally, if the vehicle is transported by land or moves under its own power, an additional condition is established: the current rates will apply if the vehicle is brought into the territory of Georgia before July 1, 2026.