Taxation of Non-Israeli Investors

Non Israeli resident investors may be fully exempt from capital gains tax in Israel commencing from 2009. However, the structure of their investment may substantially affect their tax consequences in their country of residence. In addition, the proper structure of financing of the investment may be important and may have substantial impact on the tax aspects depending on whether the investor's country of residence is a party to a tax treaty with Israel or not.
Our law firm advises our client on the proper structure of their investment in Israel, including the form of the investment, whether partnership (general of limited), joint venture or a limited company; We further assist our client in structuring the financing of the investment as equity or loan and provide in general the guidelines of how to do the investment with a minimal exposure to Israeli taxation.