# Israel Tax Authority

Canonical: https://web4.xpay.bi/en/wiki/wp-en-56908994/

Language: en

Published: 2026-10-26T17:41:21.115Z

Updated: 2026-10-26T17:41:21.115Z

The Israel Tax Authority (Hebrew: רשות המסים בישראל, romanized: Rashut HaMisim B'Israel) is the national revenue service of Israel, operating under the Ministry of Finance. Established in 2004, it brings together the administration of income tax, real estate taxation, value-added tax, purchase tax and customs duties. It also administers the Property Tax and Compensation Fund, which compe

## Key facts

## Overview

The Israel Tax Authority (Hebrew: רשות המסים בישראל, romanized: Rashut HaMisim B'Israel) is the national revenue service of Israel, operating under the Ministry of Finance. Established in 2004, it brings together the administration of income tax, real estate taxation, value-added tax, purchase tax and customs duties. It also administers the Property Tax and Compensation Fund, which compensates eligible individuals and businesses for damage caused by war and hostilities.

## History

The authority was created following a government decision on 15 September 2003 to consolidate the administration of tax collection under a single director. The merger combined the Income Tax and Real Estate Tax Department, the Customs and VAT Division, and the Computerised Processing Service, known by its Hebrew acronym Sha'am. It took effect on 1 September 2004. The reorganisation was intended to improve coordination between the tax departments, increase administrative efficiency and improve services to taxpayers.

## Responsibilities

The authority administers both direct and indirect taxation. Its responsibilities include income tax, taxation of real estate transactions, value-added tax, purchase tax and customs duties. Its activities encompass tax assessment, collection and enforcement. Its customs functions include administering the customs tariff and purchase taxes applicable to imported goods. The authority also conducts investigations into suspected tax offences. Its investigators cooperate with the police in cases involving suspected money laundering and fraudulent VAT invoices.

## Property Tax and Compensation Fund

The authority administers compensation under the Property Tax and Compensation Fund Law, 1961. The fund covers qualifying direct damage to property resulting from war or hostile acts, as well as certain indirect economic losses. The law also provides for compensation for drought damage in designated geographical areas. Direct damage claims may concern buildings, vehicles, contents, inventory and infrastructure. Indirect damage compensation addresses qualifying losses of business income or profits, with eligibility and calculation methods varying between compensation schemes.

## Organisation

The authority employs approximately 5,700 people. Its organisation includes central management, regional tax offices and the Computerised Processing Service. Shai Aharonovitch became director in September 2023. He remained in office in October 2026.

## See also

Taxation in Israel

## External links

Official website

## Sources

- Israel Tax Authority · Wikipedia: https://en.wikipedia.org/?curid=56908994

Source: Wikipedia contributors — https://en.wikipedia.org/?curid=56908994&oldid=1381863695

Licence: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/

Adaptation notice: Reformatted for XPay; the source may be abridged, restructured or translated. Consult the cited revision for the original.