With the end of the tax year fast approaching, here are a few tips that may be relevant: If you haven’t already done so, make a claim for the Working Tax Grant(negative income tax) in respect of 2013 income. The deadline is Friday 26th December. If you are a business with inventory, take a count as close as possible near the year-end. The cost of each item should be listed alongside the quantities. Business owners should make top-up payments towards pension, Keren hishtalmut etc to take advantage of the tax breaks available. The same goes for salaried individuals who have private pension plans.

In the USA, one of the most common ways of running a business or investment is via an LLC (Limited Liability Corportation). Such a vehicle has a number of advantages, but these are not our concern here. The tax treatment in the USA is that, although the LLC is a separate legal entity to the owner(s), the income generated is taxed directly in the hands of the shareholders. This is therefore similar in nature to the House Company and Family Company, but without the various restrictions imposed on Israel. The issue to be dealt with is that legally the LLC is a separate body. As