Wednesday, June 18, 2014

Israel Focuses on Offshore Accounts (6/18/14)

I don't watch closely efforts by foreign countries to protect their own tax bases that may be eroded by accounts outside their borders, but I do know generally that tax authorities in other countries are concerned.  It is not just the United States.  Germany and France have made major  moves, for example.

Consider this recent story regarding Israel:  Tax Authority targets foreign bank account holders (Globes 6/12/14), here.  Here are some excerpts:
The Tax Authority has been handed information about thousands of Israelis with foreign accounts. 
"The Tax Authority has a list of Israelis with foreign bank accounts with tens of billions of shekels. They can expect to receive registered letters from the Tax Authority. Figures will be published soon about investigations that will be opened against some of the tens of thousands of Israelis whose names have been made known to the Tax Authority through various leaks. We're talking about turnovers of billions of euros," Tax Authority senior deputy director general for investigations and intelligence Avi Arditi told the panel on black capital at the Institute of CPAs in Israel conference in Eilat on Wednesday. 
As for the Tax Authority's capabilities in uncovering Israelis' money overseas, Arditi said, "In the past it was taboo to talk about people with a foreign bank account. No one knew about it and the chances that the Tax Authority would receive information about it was zero. But things have changed. Countries have grasped the need to share information, and banks are now required to examine the sources of their customers' money. We're in a new era, in which information flows into Israel from abroad, and we know how to deal with sources in Israel that provide us material. This is something new and interesting, and tax cheats should realize it."


  1. Thanks, I just posted on this. Will be back with more later.

    Jack Townsend

  2. Will be interesting to see the new eligibility criteria but hope is they will be fairly expansive.

  3. Anonymous - please contact me at desi2005b at maybe we can help each other


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