Taxes
Israel — Tax: Corporate Tax
Israel's combined statutory corporate income tax rate is 23% (2025), according to the OECD Tax Database.
VerifiedGovernment / official sourceOECD — Tax Database, Corporate income tax statutory rates (OECD.CTP.TPS DSD_TAX_CIT@DF_CIT)Last reviewed: 2026-10-18
Key facts
- Combined statutory corporate income tax rate (national plus sub-national): 23% (2025)
- Central government rate: 23% (2025)
Steps
- Establishing a Company in Israel — To establish a company in Israel, a foreigner must obtain a license from the Israeli Ministry of Finance, which requires a minimum investment of NIS 50,000. A company must also have a minimum of two shareholders and a director who is a resident of Israel.
- Obtaining a Tax ID Number — A company must obtain a tax ID number, which is used to identify the company for tax purposes.
- Filing Tax Returns — Israeli companies must file tax returns with the Israeli Tax Authority every year, detailing their income and expenses.
Costs
- Company registration: NIS 50,000 (minimum investment)
Timelines
- Establishing a company: varies, typically 1-3 months
- Obtaining a tax ID number: typically 1-2 weeks
Required documents
- Company registration documents
- Tax ID number
- Annual tax returns
Common mistakes
- Failure to register a company with the Israeli Ministry of Finance
- Not obtaining a tax ID number for the company
What this figure does not cover
This is the headline statutory rate. Deductions, reduced rates for particular sectors or regions, minimum taxes, local business taxes, withholding taxes and registration or filing procedures are not covered here. Check the national tax authority for your situation.