Tax & Accounting Blog

Israel: VAT Standard Rate to Increase 2 June 2013

Indirect Tax, ONESOURCE, VAT Tax Rates May 29, 2013

The Knesset approved the unpopular 1% increase in the VAT standard rate this week by a slim margin, with 45 lawmakers approving and 39 against the rise. Nineteen coalition legislators were absent from the voting as was Finance Minister Lapid.

The increase in VAT to 18% from it’s current 17% will go into effect on 2 June.