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Middle East

Deep tech founders with qualifying IP, Israel

Preferred Technology Enterprise (PTE) regime drops corporate tax to 12% on qualifying IP income, or 7.5% in Development Area A. Special PTE status reaches 6% for groups above ILS 10B revenue. Innovation Authority (formerly OCS) co funds R&D programmes with non dilutive grants.

PTE 12% / 7.5%Innovation Authority grantsSpecial PTE 6%
Start setup {placement} 4 min · no card required
Corp tax
23%
Fastest setup
2 weeks
Tax treaties
58
Region
Middle East

What you'll need

  • No resident director required
  • Local registered office required
  • No substance requirement
  • Minimum capital: ILS 1
  • Administrative language: Hebrew
  • Legal system: Civil law

Tax and treaty profile

  • Corporate tax 23%
  • Tax treaties 58
  • VAT rate 18%
  • Withholding on dividends 25%
Key treaty partners
United StatesUnited KingdomGermanyFranceNetherlandsSingapore

Banking and payments

  • Banking takes 2 to 4 weeks with KYC
  • Stripe not supported
  • Wise supported

Considerations

If you need Stripe acquiring from day one

Stripe support in Israel is limited and Israeli bank onboarding can take 60 days due to AML and source of funds review. For instant US payment rails:

Bank onboarding 60 daysLimited Stripe support18% VAT