The latest amendment to the tax law was publicized last week. Among the sections included in the new law was a section dealing with the circumstances in which the Israeli Tax Authority is permitted to exchange information with other tax authorities across the world.
Without going into the details of the law, suffice to say that we can expect the flow of information to start in the relatively near future (likely 2017, 2018 onwards), and those who have hitherto unreported income – specifically in foreign countries – are ever-more likely to become exposed.
It goes without saying that a person coming forward to the tax authorities ahead of them getting a knock on the door in the middle of the night is in a far superior position. And so, I would urge anyone who has any concern that they have income not reported to the Israeli tax authority to do so, and do it soon.
If you are unsure if income needs to be reported, see the previous postregarding who needs to file a tax return.
Further, for those who have an issue, it is worthwhile considering entering the Voluntary Disclosure Procedure – see more details here.
Contact me today (details on the side of the blog) to discuss your personal circumstances and how best to “come clean.”