Legal Update - Tax - December 2019 (Hebrew)
By Anat Shavit & Jonathan Shtang | Dec 2019 | Legal Update
This update highlights Income Tax Circular 3/2019, dated November 19, 2019, concerning matters relating to the division or consolidation of plants in order to receive tax benefits granted under the Encouragement of Capital Investments Law.
The principal aim of the Circular is to provide criteria to companies who wish to benefit from tax benefits under the Encouragement Law which are available for plants characterized as “industrial plants” (as defined in the Encouragement Law). The circular sheds light on a difficulty which is created if companies report preferred income at the lower tax rate when the Tax Authority’s position is that the income is taxable at the full rate.
Please find the full legal update here (Hebrew)
Search by
Clear Search