Withholding tax is the deduction and payment of income tax on the client's profits from capital market activity, when the activity is carried out. We as a company deduct the tax at the rates required by law and transfer it directly to the tax authorities.

This is a certificate issued at the end of the tax year and is used to report to the tax authorities about a person's profits and/or losses from operations in deposits, securities - including interest, distributed profits (dividends), and the tax withheld in that tax year, according to the months of activity. Form 867 is specific to each account. If the customer has several accounts in which they operate, then a separate 867 form will be required for each account.

The form is issued by our company once at the end of a calendar year. This form aggregates all the withholding tax deductions made by our company for the client in that tax year.

Withholding tax applies to capital gains from the sale of securities, profits from derivative financial instrument transactions (options, futures contracts, etc.), income from deposits, interest and profits (dividends), etc., generated by a person resident in Israel in foreign financial institutions, in accordance with the law.

es, there are a number of exceptions and tax benefits for investors in the capital market, which depend on the type of investment, the size of the investment, benefits related to the client's age, additional tax and more. It is recommended to consult with an accountant and/or tax advisor in this regard.It should be emphasized that the 867 form that the company produces is according to a fixed calculation detailed in the law and which does not individually consider a specific customer. Form 867 issued by our company does not come to replace tax coordination and whenever there is or may be an individual benefit and/or a specific aspect concerning the client, it is recommended to consult with an accountant in order to exhaust the tax benefits you are entitled to.

For a single customer (person), a resident of Israel who trades abroad through a broker or a foreign bank.

In the vast majority of cases, withholding and generating Form 867 is sufficient. At the same time, there are cases where the aforementioned is not enough and the taxpayer will still be required to submit an annual report, such as cases where the taxpayer is self-employed, assets abroad above a certain amount, annual income above a certain amount, high sales turnover from securities traded on the stock exchange, etc. It is recommended to consult an accountant account and/or tax advisor in order to examine the aforementioned according to your personal data.

The amount of withheld tax can be checked through your trading statements in your account.