News & Analysis as of

Israel Tax Authority

Barnea Jaffa Lande & Co.

Israel: Improved Purchase Tax Benefit for New Immigrants

New immigrants to Israel who purchase a first residence will pay significantly lower purchase tax rates than the tax payable according to the current benefit, after the Knesset Finance Committee recently approved an amendment...more

Barnea Jaffa Lande & Co.

Depreciation from Apartment Purchase Value

The Tel Aviv Administrative Court recently ruled that the Israel Tax Authority (ITA) acted unlawfully and without authority when it deducted depreciation from the value of apartment purchases. This ruling applies to instances...more

Barnea Jaffa Lande & Co.

Tax: Classification of Inter company Transactions

A precise definition of business services was recently at the core of a dispute between the Israel Tax Authority and eBay Marketplace Israel Ltd., a subsidiary of the multinational eBay Group. The district court litigated...more

Barnea Jaffa Lande & Co.

Israel Freezes Convalescence Pay Rate

In March 2024, the Knesset legislated the Freezing and Reducing Convalescence Pay in 2024 for Budgeting Benefits for Reservists Law. This law applies to the private sector, following an earlier collective bargaining agreement...more

Barnea Jaffa Lande & Co.

Imputed Value on Usage of Company Car as Income during Swords of Iron War

At the beginning of November 2023, the Israel Tax Authority published special instructions granting concessions to employees issued a company car who were subsequently called up for emergency reserve duty under an Order 8 or...more

Barnea Jaffa Lande & Co.

Ruling: Pre-Sale Dividend Distribution to Reduce Tax Liability

A district court ruling handed down this past September addresses the legitimacy of distributing dividends prior to a sale of shares in order to reduce the tax liability deriving from the transaction. The court found that, in...more

Barnea Jaffa Lande & Co.

Doing Businesses in Israel: Obligations for Social Security

Entrepreneurs and businesspersons interested in operating businesses in the State of Israel must be aware of the obligations imposed on them as self-employed dealers and employers, and cope with a variety of obligations to...more

Barnea Jaffa Lande & Co.

Investments via SAFE as a Tax Event

The Israel Tax Authority’s May 2023 guidelines state that, under particular circumstances, investments via SAFEs (simple agreement for future equity) will be considered an advance on a share investment account. That being the...more

Barnea Jaffa Lande & Co.

Corporate Inversion – Turning an Israeli Company into a Foreign Company

Generally speaking, a corporation inversion is a process of changing the holding structure of an existing company by transferring all of the existing company’s issued share capital from its shareholders to a new company, in...more

Barnea Jaffa Lande & Co.

Reporting Methods – “Accrual Basis” or “Cash Basis”

The district court recently ruled that when determining a business’s correct reporting method to the Israel Tax Authority (ITA)—on an accrual or a cash basis—it is insufficient to examine the technical question of a...more

Barnea Jaffa Lande & Co.

Tax Plan and Acquisition of a Public Shell

The uptrend in the number of public shell acquisitions has prompted the Israel Tax Authority to be even more meticulous in its examination of such transactions. The Jerusalem District Court recently ruled that when a buyer...more

Barnea Jaffa Lande & Co.

Intellectual Property Value for Israeli Tax Purposes during a Sale between Related Parties

Does the sale price of intellectual property between related parties reflect its market value? The Tel Aviv District Court deliberated this question in October 2022. The ruling it handed down, which concurs with a series of...more

Barnea Jaffa Lande & Co.

Tax Aspects of Cryptocurrency-Based Compensation to Employees

Barnea Jaffa Lande & Co. on

Share-based compensation is the most popular reward method among employees and service providers in many industries today, especially the high-tech industry. From the grantee’s point of view, the receipt of options enables a...more

Barnea Jaffa Lande & Co.

What Is the Maximum Exemption from Land Appreciation Tax?

Barnea Jaffa Lande & Co. on

Judge Yardena Seroussi recently handed down a new ruling in a case deliberated by the Real Estate Tax Appeals Committee on the taxation of luxury apartments.   The Appeals Committee deliberated the question of the entitlement...more

Barnea Jaffa Lande & Co.

Israeli High Court Ruling: The Knesset Finance Committee is Limited in its Authority to Approve Tax Benefits for NPOs

The Israeli High Court of Justice ruled recently that section 46 of the Income Tax Ordinance does not authorize the Knesset Finance Committee to exercise broad discretion in recognizing NPOs and in fact the Committee’s...more

Barnea Jaffa Lande & Co.

Prenuptial Agreements - New Israeli Supreme Court Ruling

Up until now, the Israel Tax Authority interpreted the Real Estate Taxation Law so that spouses who signed a prenuptial agreement and maintained separate property were considered a single family unit for the purposes of real...more

Fox Rothschild LLP

Israeli Tax Authority Imposes ‘Capital Declaration’ Reporting Requirement On Trusts

Fox Rothschild LLP on

For the first time since Israel began taxing trusts, the Israeli Tax Authority (ITA) has sent inquiries to some trusts seeking a declaration of worldwide assets and liabilities as of December 31, 2019. We have heard that this...more

Barnea Jaffa Lande & Co.

Repurchasing of Shares Is Not a Tax Event for Remaining Shareholders

Barnea Jaffa Lande & Co. on

In a bold step, the Haifa District Court rejected the Israel Tax Authority’s position on a company’s repurchasing of shares, and in effect split with a ruling of the Tel Aviv District Court, who considered a similar issue...more

Barnea Jaffa Lande & Co.

Taxation of Hedge Funds in Israel – A Short Guide to the Perplexed

Hedge funds are generally entities that are managed by investment managers, in accordance with certain investment strategies, in order to invest in financial assets and generate returns for the hedge funds’ investors....more

Barnea Jaffa Lande & Co.

Israel Tax Authority Reliefs in Light of Coronavirus Pandemic

In light of the coronavirus pandemic affecting the economic market, the Israel Tax Authority has published several reliefs for taxpayers as part of preparations for fighting the virus and to assist taxpayers dealing with the...more

Barnea Jaffa Lande & Co.

Dramatic Decision on the Taxation of Trusts in Israel

The Tel Aviv District Court handed down a decision a few days ago rejecting the Israel Tax Authority’s (ITA) position on the conveyance of real estate properties to trusts. This decision dramatically changes the taxation of...more

21 Results
 / 
View per page
Page: of 1

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
- hide
- hide