David Kapianidze, Head of Tax Law Practice, BMS Law Firm, stated that many self-employed individuals do not pay taxes because this process is unclear to them and they feel no desire whatsoever to go to the bottom of how taxation works.

“Simple registration through the application and no need to bother to independently calculate the amount of tax to be paid may seem to be appealing to many people. This applies to bonuses too, because if they decide to legalize their business, they will want to obtain certain privileges in return. For the state, this step contains multiple advantages, and not so much in terms of tax collection, but in terms of making the pension system more stable by receiving significant funds”, Kapianidze noted.