The village Dvani, on the de facto border with South Ossetia, is one of the places likely to be exempted from property tax. (Photo: Interpressnews.)

TBILISI, DFWatch – Property close to the occupied territories of Georgia are to be exempted from property tax.

The government proposes to amend the tax code so that land which is owned by a person or property lands that are located near the occupied territories, defined by the law on occupied territories, and because of it person cannot use his property, will be exempted from paying tax.

The bill says that it will be the responsibility of local government to confirm that conditions are met. How the law will be applied more specifically will be up to the finance minister to work out, after the law is enforced.

Parliament has not yet begun reviewing the new bill.

The current tax code states that all property in the occupied territories are exempt from tax until the conflicts are resolved and the economic situation is in order.

Around twenty per cent of Georgia’s territory is occupied by Russia, following the 2008 South Ossetian war.

Two breakaway republics, Abkhazia and South Ossetia, are run by de facto separatist authorities which have unsuccessfully been trying to gain international recognition since the early 1990s.