Category: Israeli Personal Tax Planning

08

Apr2024
Leon Harris and Yoad Frenkel In a word, No. The Knesset has just passed an amendment which lessens but not removes the 10 year Israeli tax holiday for foreign income of new residents and senior returning residents who lived abroad for at least 10 years (“Olim”) (Income Tax Ordinance amendment 272, ... Read More
April 8, 2024Leon Harris

30

Mar2024
Can a business recover VAT on war security expenditure? In many countries that have VAT or similar taxes, a business can claim back VAT on business expenditure but not private expenditure. So is war security expenditure business or private? The Israeli CPA Institute took this dilemma to the Israeli VAT Authorities ... Read More
March 30, 2024Leon Harris

30

Mar2024
The Israeli Tax Authority (ITA) has just published a notice about optimizing charity donations (“Credit for Donations of capital Assets In Kind” April 21, 2024). Charitable giving or Tzedakah is an important part of the Jewish religion. Helping others in need is not only a good deed, it can be tax ... Read More
March 30, 2024Leon Harris

12

Mar2024

More Taxes Soon

With a war to finance and covid 19 expenses still lingering, Israeli taxation is going only one way, which isn’t down. Please don’t shoot the messenger. Coming soon: higher VAT and perhaps an electric car travel  tax. Value Added Tax (VAT): The standard rate of VAT in Israel will rise from 17% ... Read More
March 12, 2024Leon Harris

26

Feb2024
The Israeli government published a draft bill on February 22, 2024 proposing to repeal the ten year reporting exemption for Olim. This will relate to foreign income and assets of theirs and of trusts they are a party to. But this only relates to disclosure – the existing ten-year exemption ... Read More
February 26, 2024Leon Harris

21

Feb2024
Israel is moving onto a mandatory system of e-invoicing, known as “Israeli Invoices”, on April 1. This will be no joke for quite a few Israeli businesses. The date was pushed back 3 months due to the war. In a nutshell, if a business wants to issue a Tax Invoice for ... Read More
February 21, 2024Leon Harris

21

Feb2024
The war continues, the Israeli economy continues to struggle. Some IDF reservists have returned home. New reservists are being called up and conscription may be extended. It is estimated there are around 120,000 evacuees from the South and the North. Below is a non-exhaustive wartime update. War Compensation: The war compensation and ... Read More
February 21, 2024Leon Harris

21

Feb2024
One of the many repercussions of the Israel-Hamas war concerns double national insurance (=social security) also known as Bituach Leumi in Hebrew. Imagine an Israeli who relocated “permanently” to the USA (or many other countries – see below) with his family but patriotically returns to Israel to serve in the IDF ... Read More
February 21, 2024Leon Harris

07

Jan2024
The District Court has ruled that large interest free loans from a US parent corporation to an Israeli subsidiary company are not okay (eBay Israel Holdings Ltd Vs. Netanya Assessing Officer, civil appeal 51066-03-20, of December 5, 2023). But the judgment has many twists and turns and some Hebrew write-ups ... Read More
January 7, 2024Leon Harris

24

Dec2023
The Israeli government has introduced a program of grants for Israelis who choose to start working in agriculture or construction in Israel (https://www.btl.gov.il/HaravotBarzel1/Pages/MankTimrozHB.aspx) . Background. Not only Jews suffered on the October 7. Tragically, some foreign workers from Thailand and elsewhere were also killed then and others were taken hostage into Gaza ... Read More
December 24, 2023Leon Harris