Israeli Tax Authority Gives Diamond Traders Two Months To Disclose Books

03/01/2017 11:32

The Israel Diamond Exchange and Israel Diamond Manufacturers Association sent a letter to Israeli traders Diamond companies in Israel have been granted another two months to voluntarily disclose their assets, inventory and unreported income to the Tax Authority, writes Rapaport News. The trade organizations informed their members that firms have until the end of February to submit the full report of disclosures, as long as they declared their intention to do so by December 29. According to Rapaport, "The industry hopes the scheme will end the long-running investigation by the Tax Authority into the trade’s activity." In December, the Israeli diamond industry finalized the terms of an agreement with the Israeli Tax Authority whereby diamond companies will be taxed on profit rather than turnover, with the result being that diamantaires will no longer pay taxes when they incur losses: they will now be able to deduct all of their expenses from income and will pay tax only when they show a profit.