Tax

Your Taxes: Doing business in Israel in 2026

Israel’s tax treaties and the OECD Multilateral Instrument refine these criteria for foreign companies.

 New Israeli Shekel banknotes and coins, illustrative. November 9, 2021
The illuminated Nativity Facade of the famous Sagrada Familia in Barcelona at blue hour.

Barcelona doubles tourism tax, charging visitors up to €15 a night

San Francisco Mayor Daniel Lurie speaks during the California Democratic Convention in San Francisco, California, US February 21, 2026.

‘Tax the Jews’ chants break out at event held by Jewish mayor of San Francisco

Gunmen stand guard at the funeral of Marwan Issa, a senior Hamas deputy military commander who was killed in an Israeli airstrike during the conflict between Israel and Hamas, amid a ceasefire between Israel and Hamas, in the central Gaza Strip, February 7, 2025.

US condemns Hamas after video shows terrorists intimidating, extorting Gazans


OECD tax rules tighten grip on e-commerce profits and Israeli exporters

YOUR TAXES: The MLI deals with income taxation, which is referred to as direct taxation. On top of that, most countries have indirect taxes, such as VAT or GST.

 Money and a calculator

Is the OECD Amount B treaty second rate for Israeli distributors?

Your taxes: Israel is an OECD member but is not a covered jurisdiction for Amount B purposes. So the Israeli Tax Authority may not accept Amount B calculations from Israeli importers and exporters.

 Thousands of additional shekels can be saved every year with tax exemption

After cover op.: Police arrest lawyer suspected of laundering NIS 20m.

The operation was carried out jointly by police officers from the Southern District in addition to officers of the Yahalom unit operating under the Israel Tax Authority.

Photo of a police car.

Electric cars beneficial for consumer, not for Israeli economy, 2024 report finds

In 2024, the cost of an electric-powered vehicle for the consumer was NIS 3,700 less than a gasoline-run car. 

An illustrative image of an electric car.

Key budget bill clears committee despite Ben-Gvir’s attempt to block it

The bill was part of the annual Economic Arrangements Bill, which accompanies the state budget and groups together all legislative amendments necessary to pass the budget.

 View of the National Insurance Institute offices in Jerusalem. January 23, 2017.

Food chain surprises: "We will absorb the VAT increase"

Carrefour announced it will absorb the VAT increase on 1,700 private label products, including food, pharmaceuticals, toiletries, and fresh meat, chicken, and fish.

 Carrefour Dizengoff Center. The 80th branch in Israel

Freelancers ask central bank to cut interest rate, help businesses near bankruptcy

The forum emphasized that a rate cut could help mitigate some of the increased costs that freelancers and business owners are expected to face in 2025.

A shop opens at Agripas street in Jerusalem next to the Machane Yehuda market

Key gov’t tax bill in danger after Otzma Yehudit, Agudat Yisrael threaten to vote against

Bill must pass by end of year; expected to create over NIS 9 billion national income in 2025.

 Itamar Ben-Gvir and Bezalel Smotrich attend a plenum session on forming the government, in the Israeli parliament, on December 29, 2022.

VAT in Israel is going up

Your Taxes: The rules are complex. We all need to prepare.

 Illustrative image of doing taxes.

Tax Authority confirms higher vehicle tax rates for 2025

Alongside the adjustment to purchase tax on electric vehicles, all gasoline, diesel, hybrid, and plug-in hybrid vehicles will become more expensive.

 Income Tax and Property Tax Department at the Finance Ministry