Following the publication in the press on the 6th of September 2015, regarding the extension of the Voluntary disclosure Procedure, attached herewith is the announcement from the Tax Authorities:
During the period that passed since the start of the Voluntary disclosure Procedure, over 3,000 requests have been filed, revealing over 10.3 billion NIS.
Due to the success of the procedure Voluntary disclosure so far, that was announced exactly one year ago, the tax authority and the department of justice have come to an agreement, on the extension of the deadline of the Procedure. Further details, including the last day for filing Voluntary disclosure requests, are yet to be announced.
The Procedure includes the extension of 2 temporary provisions, which were meant for facilitating the submission of the requests:
- Anonymous Route– allowing the submission of an initial request, without specifying the name of the Taxpayer, in order to clarify the tax debt that is due from the information specified in the application. Once the tax assessment is made, the applicant is required to reveal himself to the tax authorities.
- Abbreviated Route– when the entire capital revealed in the request, does not exceed 2 million NIS, and the taxable income does not exceed 0.5 million NIS, the applicant may file his request in the abbreviated route, attaching with it the relevant tax reports. After the receiving confirmation, the Taxpayer will be given a payment voucher to pay the due tax. Once the payment is made (given that it was made in the designated time frame), the applicant will be granted immunity from criminal charges.
So far, 3290 requests were filed, of which 1967 were anonymous requests, 827 were abbreviated requests and 496 were regular requests. A capital of 10.3 billion NIS has been revealed so far, and it is now a part of the current tax reports.
Given that the applicant meets several conditions, The provisions of the procedure allows the Taxpayer to reveal its assets, declare unreported incomes and pay the tax that is due from its incomes. Among several other demands, the application must be made in good faith, and given that there were no inquiries or investigations in the matter of the applicant, at the time of filing its application.
As a part of the extended procedure, the applicants will pay the tax due to the discovery, and the tax authority hereby commits, with the approval of the state attorney, not to pursue criminal charges against the taxpayers that meets the criteria.
The voluntary discovery applicants are submitted via email, to following email address: email@example.com, to the deputy director of interrogations and intelligence.