Knowledge Base - David Melnik Law Offices & Notary

5 בSeptember 2026

Israel’s Tax Treaties and Payments for Software and Cloud: When Withholding Arises

A table of twenty tax treaties: the withholding rate in each, which treaties name software expressly, which carry an equipment limb that can catch a cloud infrastructure deal, and the separate technical services route in India and Brazil.

5 בSeptember 2026

Digital Permanent Establishment in Israel: When a Foreign Cloud Supplier Becomes Taxable Here

Circular 4/2016 and the widening of the permanent establishment concept, the difference between a treaty and a non-treaty supplier, the VAT registration duty and the self-invoice, and why an expansive position works against Israel as a software services exporter.

5 בSeptember 2026

Severing Israeli Tax Residence: Six Cases and What Separated Them

Tzur, Sapir, Refaeli and Amit: the docket numbers, the days of presence in each year, and what separated the two cases in which severance was recognised from the two in which it was not. Among them, an identical 185 days that produced opposite results.

5 בSeptember 2026

Studied in Israel Before Aliyah? What an Earlier Stay Does to the 2026 Tax Benefit

A gap year or a degree in Israel years ago can decide whether the 2026 exemption on earned income produced in Israel exists at all. What an earlier stay means for tax residence, and what to assemble before the move.

6 בSeptember 2026

The Adjustment Year: Where It Is Written, When the Ninety Days Run From, and What It Does Not Do

The adjustment year lets a new Israeli resident or a senior returning resident stay outside Israeli residence for one year from arrival. It sits in section 14(b) of the Income Tax Ordinance, the ninety days run from the day of arrival, and the year is counted against the ten years of benefits.

6 בSeptember 2026

Rent Paid to a Foreign Resident: Withholding, Moving the Money, and the Filing Obligation

A business tenant paying rent for an Israeli property may have to withhold 35 percent from every payment even where the landlord owes 10 percent or nothing. What the withholding regulations require, who is outside them, how the money is moved out of Israel, and when a return has to be filed.

6 בSeptember 2026

Amendment 272: The Reporting Exemptions for Olim and Senior Returning Residents, and Who Still Has Them

Amendment 272 repealed two reporting exemptions that stood for olim and senior returning residents: the exemption from reporting foreign income in an annual return, and the exemption from a capital statement covering assets outside Israel. Both apply only to a person who entered the status from 1 January 2026. Other provisions in the same law apply on other dates, including a trust notice duty that depends on nobody being an oleh.

18 בSeptember 2026

Product Liability for Artificial Intelligence: What Is Changing in the European Union, the United States and Israel

In the EU, software and AI systems are now products under strict liability; US courts decide case by case; Israel's 1980 statute does not mention software.