Latest Updates

August 29, 2018

Have You Ever Paid Betterment Tax or Purchase Tax? You May Be Eligible for a Rebate

The Israel Tax Authority (ITA) recently launched an application that allows anyone who previously executed a real-estate transaction to check whether he or she has a credit balance in respect of an overpayment of betterment tax or purchase tax.

See full article >

May 22, 2018

Amazon Web Services VAT Policy in Israel Sets Global Precedent

Adv. Harel Perlmutter, Head of the Tax Department, was interviewed by Bloomberg BNA on the decision of Amazon Web Services’ to start collecting and remitting value-added tax in Israel.

See full article >

May 21, 2018

Israeli Supreme Court Rules: Option Allotment Expenses Must Be Included In The Cost Base Calculation

The Israeli Supreme Court recently ruled a judgment on the matter of high-tech companies Kontera Technologies Ltd. and Finisar Israel Ltd. The facts underlying this judgment are relevant to many technology and startup companies in Israel engaged in RD services with their foreign parent companies, and which their revenue is being calculated using a Cost-Plus method.

See full article >

May 6, 2018

Israel Tax Authority demands NIS 156m from eBay

Adv. Harel Perlmutter was interviewed by Bloomberg BNA, following the reveal of eBay Inc. that the Israel Tax Authority is demanding NIS 156.6 million in additional taxes from the company for the 2010-2015 tax years.

View PDF >

April 25, 2018

Hosting Taasiyeda Participants for Lecture on Startup Essentials

Our firm is hosting today the participants of Taasiyeda, an education program founded by the Manufacturers Association of Israel, for a seminar on founders' agreements, IP, and tax issues.

April 20, 2018

Spinoff May Trigger Tax Bill for Bezeq, Israel's Telecom Giant

Adv. Harel Perlmutter was interviewed by Bloomberg BNA on the possible governmental decision to force Bezeq Israeli Telecommunication Corp. to sell its infrastructure holdings in an effort to boost competition in the sector. This move may be considered a taxable event.

See full article >

April 15, 2018

Executive Compensation in Dual-Listed Israeli Companies

Adv. Micky Barnea, our Managing Partner, was interviewed by Globes on the topic of executive compensation policy in dual-listed Israeli companies.

See full article >

April 2, 2018

New Court Ruling Considers Tips Part of Waiter's Salary

Adv. Harel Perlmutter, Head of our Tax Department, was interviewed by Bloomberg BNA following a new labor court ruling. The ruling considers tips paid to waiters to be part of their salary, thus forcing employers to pay social benefits.

View PDF >

March 30, 2018

Israel Wants to Be First Country to Collect Tax Via Airbnb

Harel Perlmutter, Head of our Tax Department, was interviewed by Bloomberg BNA following the announcement of Israel's plans to tax Airbnb hosts directly through the service’s website.

View PDF >

March 18, 2018

Knesset Allows IPO Expenses to Be Deducted from Corporate Earnings

Recently, after initial approval by the Finance Committee, the Knesset has passed a temporary order to the Income Tax Law with regards to deduction of issue expenses. According to the law, the expenses related to issuing the shares of companies and partnership participation units on the Tel Aviv Stock Exchange (TASE) will now be recognized as expenses for tax purposes.

See full article >

February 20, 2018

What Is the Milchan Law? Interview with Harel Perlmutter

Harel Perlmutter, Head of our Tax Department, was interviewed by Bloomberg BNA in the wake of new publicity surrounding the Milchan Law. The law in question grants new immigrants and returning residents a 10-year tax exemption on income earned abroad.

View PDF >

February 15, 2018

Tax Authority Defines Rent Earned from Leasing 10 Apartments or more as Business Income

The Israel Tax Authority (ITA) recently published a draft circular for public comment on the issue of classifying residential rent income. The ITA states that, according to its reasoning, income from the leasing of 10 or more apartments should be deemed business income.

See full article >

February 8, 2018

Israel Hopes Lower Taxes, Less Regulation Will Spur Trading Boom

Dr. Zvi Gabbay, Head of our Capital Markets Department, and Adv. Harel Perlmutter, Head of our Tax Department, were interviewed by Bloomberg BNA regarding the Tel Aviv Stock Exchange's intention to reduce red tape and ease regulations in order to further continue the growth in the number of new companies being traded on TASE.

View PDF >

January 25, 2018

Israeli Tax Proposals for Blockchain, First Steps to Approval

Adv. Harel Perlmutter, the head of our Tax Department, was interviewed by Bloomberg BNA following the release of the Israel Tax Authority's new draft plan for taxing ICOs.

View PDF >

December 31, 2017

Goodnight 2017…

It has certainly been an interesting 2017 in the Israeli Hi-Tech world, here is a rundown of 5 highlights, in case you missed them.

See full article >

December 27, 2017

Everything You Need to Know about ICOs

Barnea is hosting an ICOs and digital currencies event today. Dr. Zvi Gabbay will lecture on regulation opportunities and challenges, while Harel Perlmutter will discuss the taxation of cryptographic coins and the Tax Authority's position.

December 19, 2017

Changes in the Taxation of Sales of Residential Apartments

A number of changes in the taxation of residential apartment sales will come into effect on January 2018.

See full article >

December 15, 2017

Israel Arrests Two for Tax Evasion Linked to Panama Papers Leak

Following the Panama Papers leak, Israeli authorities have arrested two Israelis on suspicion of evading millions of shekels in tax payments by using companies registered in offshore tax havens. Harel Perlmutter, a partner and head of Barnea's Tax Department, commented to Bloomberg BNA that even though many Israelis were named in the leaked documents, most of them appear to have been using the offshore havens for reasons other than tax evasion.

View PDF >

November 28, 2017

Important Real Estate-Related Legal Decisions in 2017

Adv. Ariel Nadler, head of our firm's Real Estate Department, was interviewed by TheMarker's real estate magazine on the cancellation of the Multiple Housing Taxation Law by the Supreme Court. Ariel commented that regulators will now have to provide a solution to those people who already sold their apartments in order to enjoy the tax benefit that was guaranteed. He also noted that the cancellation will affect apartment owners considering to sell.

View PDF >

November 27, 2017

ITA Publishes New Draft Circular on Sale of Rights in Corporation

The Israel Tax Authority published a draft circular today about a sale of rights in a corporation when a portion of the consideration is paid to the seller at a future date.

See full article >

Search by Practice

Latest Updates / Tax