אריאל מוכתר – רואה חשבון
Ariel Muchtar, CPA
Articles
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What is the Additional Tax?
As part of the government's measures to implement adjustments for compliance with the fiscal frameworks for the years 2025 to 2027, on December 26, 2024, the Economic Efficiency Law (Legislative Amendments for Achieving the Budget Objectives for the 2025 Fiscal Year) was published. As part of this law, Section 121B of the Income Tax Ordinance was amended, which deals with the 'Tax on High Incomes' (hereinafter: 'the Additional Tax'). According to Income Tax Procedure No. 5/2025 issued by the Israel Tax Authority, it was determined that an additional tax...
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The Meaning of Opening an "Osek Patur": Obligations, Rights, and Limitations
Opening an independent business in Israel requires registering with three authorities. A “Patur” (Exempt) dealer is a type of small business that allows an individual to report their income from self-employment to the tax authorities (Income Tax, VAT, and National Insurance). A Patur business can only be registered for one person—it cannot be jointly owned. The term “exempt” in “osek patur” (exempt dealer) refers to exemption from charging VAT (Value Added Tax). Every transaction in Israel is generally subject to VAT, but exempt dealers are not required to collect VAT from their clients—provided they meet specific criteria such as staying below a certain annual income threshold...
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Everything You Need to Know About Employee Stock Purchase Plans (ESPP)
Granting stock options or shares to employees is an effective tool for improving compensation, retaining employees, and attracting new talent—primarily in high-tech and startup companies, but not exclusively. In recent years, more and more companies have been rewarding their employees not only with a monthly salary, but also by granting stock options and company shares. Companies mainly use these compensation methods to achieve two key goals...