Type: Legislation
Israel’s phased implementation of mandatory business-to-business (B2B) e-invoicing began in May 2024. Taxpayers must now pre-request a unique invoice Allocation Number from the Israeli Tax Authority (ITA) for transactions above NIS 25,000. The ITA has issued new technical specifications to support this change. The phased launch will progressively lower the reporting threshold from NIS 25,000 in May 2024 to NIS 5,000 by January 2028. The aim is to combat invoice fraud and improve VAT compliance. A 3-month delay has pushed the full regime’s start date to January 2025, with voluntary participation beginning in January 2024.
Effective date: January 2025
