In an interview with TheMarker, chair of the tax reform committee Yair Rabinovitch said, "The tax reform committee is in the middle of its discussions. It is dealing with three areas: capital gains tax, Israelis' income abroad, and decreasing the burden of tax on labor. The matters are extremely complex, and the committee meets daily for a number of hours to find solutions. Our conclusions will not be submitted before May 10, so any reports concerning the tax height of the tax to be imposed are merely speculation."
According to him, the committee has not reached any conclusions but one can assume the tax will be moderate and graduated, so the public and authorities can prepare accordingly. There is no doubt that at the same time tax will be imposed on income of Israelis abroad, so those running today to the dollar are acting out of hysteria. The chances of losing on such an investment are much higher than the chances of profiting. Rabinovitch said, "Moves must be considered carefully and not chase various reports".
According to him, the tax will not be imposed retroactively and will not cover investments made in the past. "The general public panicking damages itself, and that is exactly when the sophisticated players profit," Rabinovitch urged. According to him, the committee is examining all the possible taxes on the entire capital market ¿ savings plans, provident funds, shekel instruments, and tax on securities gains. The committee is also examining tax rate comparisons, which may mean a decrease in the current 35% tax on dollar instruments.