The Israeli tax system is based on the principle of two-stage taxation forcompanies. In this framework, corporate tax is imposed on company profits inthe first stage, and in the second stage, tax is levied on dividendsdistributed to shareholders. The purpose of this mechanism is to create taxequivalence between individual activity and activity through a company, whileproviding an incentive for companies to invest their profits for growth andbusiness development.

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This article provides a comprehensive comparison between cash funds and shekel deposits, with a particular focus on their tax implications in the Israeli financial landscape. It is designed to assist both individual and corporate investors in making informed decisions about short-term, low-risk investment options.

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In the complex world of capital market taxation, understanding reporting and payment obligations is critical for every investor. In this article, we will review the main topics of semi-annual reporting and abbreviated reporting, and provide essential information on tax advances for foreign income.

The Tax Relief for American Families and Workers Act of 2024 (Tax Relief Act of 2024) shines a beacon on innovative businesses of all sizes, extending and expanding crucial tax benefits for research and development (R&D) activities. This legislative boon fosters an environment ripe for groundbreaking advancements, propelling American innovation forward.

Prior to the Shadow:

Preceding the Tax Cuts and Jobs Act (TCJA) of 2017, Section 174 provided companies the flexibility to immediately deduct R&D costs, encouraging investments in the pursuit of new ideas and products. However, the TCJA cast a long shadow, requiring R&D expenses to be capitalized and amortized over five or more years starting in 2022. This heavier tax burden threatened to stifle innovation and hinder the potential of R&D-intensive businesses.

A Lifeline for Innovation:

The Tax Relief Act of 2024 serves as a much-needed lifeline, offering two key advantages:

On November27, 2023, the Knesset plenum approved the "Iron Swords" (ProvisionalOrder – Extension of Periods and Delay of Deadlines) (Tax Procedures andAssistance Grants) Law, hereinafter referred to as the "Law". Butwhat exactly did the Law say? In this article, we will organize and review allthe relevant provisions of the Law.

Purpose ofthe Law

The purposeof the Law is to extend the validity of limited time periods set in tax lawsfor various procedures between taxpayers (the public) and the Israel TaxAuthority.

To implementthe purpose of the Law, it is stipulated that if the start date of the timeperiod for performing a specific action (in accordance with the provisions ofthe existing law), falls before the end of the "determining period"(Section 1 of the Law: a period of three months beginning on October 7, 2023)and the last day for performing the specific action, falls during the"determining period" or within two (2) months after it (Section 2(a)of the Law), then the last day for performing the specific action will bepostponed by three (3) months.

The right of access to court files is a cornerstone of transparency andaccountability within the judicial system. However, this right is not absoluteand may be curtailed under specific circumstances, particularly when theinformation contained within the files is of a confidential nature. In therealm of tax law, the duty of confidentiality is a crucial component designedto safeguard taxpayer privacy. Yet, this duty can intersect with the right ofaccess to court files, as these files may encompass sensitive tax-relatedinformation. This paper explores the duty of confidentiality in tax law and itsimplications on the right of access to court files.