Let’s clear up the rumors right now: 𝐅𝐨𝐫𝐞𝐢𝐠𝐧𝐞𝐫𝐬 𝐜𝐚𝐧 𝐨𝐩𝐞𝐧 𝐚 𝐜𝐨𝐦𝐩𝐚𝐧𝐲/𝐜𝐡𝐚𝐫𝐢𝐭𝐲 𝐡𝐞𝐫𝐞 𝐢𝐧 𝐈𝐬𝐫𝐚𝐞𝐥.
Let’s clear up the rumors right now: 𝐅𝐨𝐫𝐞𝐢𝐠𝐧𝐞𝐫𝐬 𝐜𝐚𝐧 𝐨𝐩𝐞𝐧 𝐚 𝐜𝐨𝐦𝐩𝐚𝐧𝐲/𝐜𝐡𝐚𝐫𝐢𝐭𝐲 𝐡𝐞𝐫𝐞 𝐢𝐧 𝐈𝐬𝐫𝐚𝐞𝐥.
shares
However,
Israel’s Tax Authority (ITA) does 𝐍𝐄𝐄𝐃 an Israeli person to take formal responsibility.
There are 2 ways to accomplish this:
(𝟏) 𝐀𝐃𝐃 𝐀𝐍 𝐈𝐒𝐑𝐀𝐄𝐋𝐈 𝐃𝐈𝐑𝐄𝐂𝐓𝐎𝐑
A “Director” of an Israeli entity is like a board member. This person doesn’t need to be a shareholder.
If you’re able to get a friend to do it for free, great. Otherwise expect to pay for this service. This person is very much exposing themselves to all sorts of risk.
This is by far the easier of the two options.
(𝟐) 𝐀𝐏𝐏𝐎𝐈𝐍𝐓 𝐀𝐍 𝐈𝐒𝐑𝐀𝐄𝐋𝐈 𝐀𝐒 𝐘𝐎𝐔𝐑 𝐎𝐅𝐅𝐈𝐂𝐈𝐀𝐋 𝐑𝐄𝐏𝐑𝐄𝐒𝐄𝐍𝐓𝐀𝐓𝐈𝐕𝐄 𝐖𝐈𝐓𝐇 𝐓𝐇𝐄 𝐈𝐓𝐀
This is a somewhat more arduous process.
A Director of the Israeli entity needs to sign a tax form (Form 22 to be exact), as does this Representative.
If the Director doesn’t reside in Israel, then s/he will need to sign this form and have it apostilled.
Then the Representative will need to sign this form either at the VAT office or in front of a lawyer.
There’s more to say, and anyone wishing to execute this should definitely review the process in detail with their trusted guides on these matters.
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I hope this clears up a few things, which will in turn allow everyone to smile more.
And after all, isn’t that what life is all about? 😊
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𝐈𝐟 𝐲𝐨𝐮’𝐫𝐞 𝐚𝐧 𝐢𝐧𝐭𝐞𝐫𝐧𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐜𝐨𝐦𝐩𝐚𝐧𝐲 𝐨𝐫 𝐚 𝐟𝐨𝐫𝐞𝐢𝐠𝐧𝐞𝐫-𝐫𝐞𝐬𝐢𝐝𝐞𝐧𝐭 𝐥𝐨𝐨𝐤𝐢𝐧𝐠 𝐭𝐨 𝐬𝐞𝐭 𝐮𝐩 𝐬𝐡𝐨𝐩 𝐢𝐧 𝐈𝐬𝐫𝐚𝐞𝐥 but don’t know where to turn for full-spectrum guidance and operational assistance, we’ve got you covered.
As your outsourced team, we can be as fully involved as you need so you can run your Israeli entity with ease – including reporting and liaising with parent companies abroad.
When working with our firm you’ll discover that navigating Israeli bureaucracy, English, and a high-level of service actually all go hand-in-hand.
𝐅𝐨𝐠𝐞𝐥𝐂𝐅𝐎: 𝐎𝐮𝐭𝐬𝐨𝐮𝐫𝐜𝐞𝐝 𝐟𝐥𝐞𝐱𝐢𝐛𝐢𝐥𝐢𝐭𝐲; 𝐈𝐧-𝐡𝐨𝐮𝐬𝐞 𝐚𝐩𝐩𝐫𝐨𝐚𝐜𝐡.
