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The Israeli Supreme Court has ruled that NPOs are entitled to receive an exemption from real estate betterment levies, provided they use the proceeds from the sale of such real estate for a public purpose specified in the law.
The Tel Aviv Land Registry’s Supervisor rejected a claim for the removal of infrastructure for an electric vehicle charging station installed in a parking space attached to an apartment in a condominium.
The Israeli Supreme Court’s ruling contains strict determinations regarding simulated contracts whose sole purpose is to defraud the tax authorities and the banking system. Inter alia, the Supreme Court addressed an ongoing judicial debate about the classification of simulated contracts.
The Israel Tax Authority and the Real Estate Tax Appeals Committee disagree on the entitlement to the maximum exemption from land appreciation tax.
An apartment owner in a condominium building installed a private electric charging station in her parking space without the consent of the other apartment owners. This is what the supervisor ruled.
The importance of pinui-binui (vacate-and-build) projects for resolving the housing shortage in Israel has spurred new legislation to resolve the problem of recalcitrant tenants, to define what constitutes a majority of tenants in such projects, and to regulate projects in neighborhoods comprised of detached houses.
Earlier this month, the Israeli Ministry of Finance approved the outline for a hike to the purchase tax imposed on real estate investors, once again, to tax brackets of 8% and 10%. The Ministry of Finance has since updated that the purchase tax hike will take effect on Sunday, November 28. The ministry’s goal with this move is to “dissuade” investors from purchasing investment apartments and lower the demands in the residential housing market.
After years of expectations, the government has approved the legislative amendments needed to promote “Urban Renewal” projects in Israel. While everyone is talking about the amendment lowering the threshold of consent for apartment owners to 66%, a lot more has also changed. All of the amendments, both major and minor, are important.
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 estate tax.
The Tel Aviv Municipality sent the Ramat Aviv Mall a municipal property tax bill for its common areas. The mall’s management argued that shop tenants must pay municipal property tax payments for these areas, under their lease agreements with the mall.
An Israeli court recently rendered an interesting ruling on the impact of COVID-19. The case in question involved the lease agreement for the operation of a hotel. The lease agreement, executed in February 2020, provided payment of rental fees for the month of March, but payment for the months of April and May had not yet been arranged.
In urban renewal projects, residents or owner’s rights holders select the company with whom they are willing to embark upon this long journey, based on relationship of trust and competence. The trust required leads both parties to execute a binding agreement. Understandably, residents expect the company which whom they have contracted with to remain unchanged and not for those rights not to be transferred to other parties.
Israeli Minister of Finance Israel Katz’s plan to reduce purchase tax for investors has gone into effect. Until now, under plans advanced by the previous Minister of Finance, Moshe Kahlon, for lowering housing prices and pushing investors out of the real estate market, the purchase tax for investors went up from 5% to 8% for an apartment that was not the purchaser’s sole apartment.
Apartment owners experiencing difficulty selling their old apartments are entitled to a seven-month extension in which to sell, and the Israel Tax Authority will not count this period for tax purposes.
What happens if a contractor’s workers do not come to work due to the spread of the coronavirus, and therefore cause delays in the delivery ? Will the buyer be entitled to compensation or will the delay be justifiable?
A recent judgment by the Hadera Magistrate’s Court holds that modifications to an apartment made at a purchaser’s request do not constitute just cause for late delivery and that the purchaser must be compensated for any delay.