Government measures in key jurisdictions 3rd edition final - Flipbook - Page 70
Israel
Tax
Has any new
legislation been
introduced in light of
Covid-19?
Temporary emergency regulations were published to provide extensions for certain tax-related
deadlines as a relief measure due to the COVID-19 pandemic. These include:
• Extensions of the deadlines for reporting and payment of VAT for the months January, February,
March, and April 2020, with respect to dealers reporting on a monthly and bi-monthly basis, and
automatic cancellation of fines imposed on late reporting (up to five days late),
• Extensions of the deadlines for filing 2018 and 2019 income tax returns for both individuals and
corporations,
• Extensions of the validity of 2019 withholding tax certificates, and
• Extensions of the validity of 2019 tax coordination certificates.
In addition, the period between March 22, 2020, and May 31, 2020, shall not be counted as calendar
days when determining the tax-related deadlines detailed under certain sections of various Israeli tax
laws, such as the Israeli Income Tax Ordinance, the Israeli Value Added Tax Law, the Israeli Real Estate
Taxation Law, etc.
Monetary grants not subject to VAT were also provided to businesses hurt by the COVID-19 pandemic.
The grants were doled out in three rounds:
– This grant is for self-employed individuals with at least a 25% decrease in revenues during
March-April 2020 compared to those months in 2019, subject to certain additional conditions. The grant
amount is up to NIS 6,000, and the application for the grant must be submitted by no later than July 1,
2020.
– This grant is for self-employed individuals and salaried business owners with at least a 25%
decrease in revenues during March-June 2020 compared to those months in 2019, subject to certain
additional conditions. The grant amount is up to NIS 10,500, and the application for the grant must be
submitted by no later than July 12, 2020.
– This grant is for self-employed individuals and corporations for help with fixed expenses
and is granted to businesses with an annual turnover of up to NIS 20 million and whose profits were
affected by COVID-19 (at least a 25% decrease in revenues during March-April 2020). The grant amount
is up to NIS 400,000, and the application for the grant must be submitted by no later than August 10,
2020.
Company
law matters
Have any measures
been put in place to
accommodate social
distancing (such as
remote general
meetings)?
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Other than for certain regulatory documents, Israeli law makes no requirements for documents to be
signed or submitted in person, and most documents may be executed electronically or by scanned version.
The Israeli Companies Law does not require any corporate meetings to be held in person, and unless
specifically noted otherwise in a company’s bylaws, all such meetings may be held remotely by means of
telecommunication, provided all participants are be able to speak and hear one another in parallel.
Furthermore, all regulatory authorities (such as the Israeli Registrar of Companies) have made efforts to
accommodate social distancing, by allowing companies and entities to submit reports and documents
through the internet or by email. An additional temporary relief includes the ability to verify the signatures
of individuals located in Israel remotely by means of telecommunication, instead of in face-to-face
meetings.
Government measures in key jurisdictions