Modern Israel is a reputable jurisdiction with possibilities of favourable taxation, with an economy enjoying worldwide confidence among communities and organizations.
Companies incorporated in Israel are attractive not only because of simple and convenient setup procedures, but also in leiu of their status image.
Including Israeli companies in international business structures is particularly valuable in cases when respectability of partners and transparency of transactions are of essence. Excellent conditions are created for the use of Israeli resident companies as contractors to manage transactions outside the country, with guaranteed protection of the profits from taxation in Israel.
Herewith, businesspeople can either own their own resident company or conduct transactions under a contract with a company specializing in international business management. An important point is that Israeli companies can open accounts in banks, both in Israel and abroad, without binding regulations.
Well-thought corporate and tax laws of Israel provide for quick registration of companies with minimum formalities, and grant permission for engaging in any lawful activities other than those requiring special licensing. Among the advantages for registration of companies the following points are of particular importance:
- certain tax incentives for Israeli companies,
- modern highly developed banking system,
- a wide network of tax treaties,
- attractive image of Israeli companies,
- investment incentives for non-residents and others.
Business activity and its legal forms are being governed by the “Companies Act” of 1999. The main types of companies that can be registered in Israel are:
- branches and representative offices of foreign companies
- non-profit organizations.