Income Tax Ordinance Amendment (No. 274) Bill
Translated from Hebrew: הצעת חוק לתיקון פקודת מס הכנסה (מס' 274)
TL;DRA proposal to permit early withdrawal of funds from a study fund (keren hishtalmut) until the end of 2024, at a reduced tax rate of 15% (or up to 75% for retirement age), compared with the regular marginal tax.
Translated from Hebrew
What does the bill do?
The proposal allows amounts to be withdrawn from a study fund before the end of the period set by law, for deposits made up to May 2024. These withdrawals will be subject to a fixed tax rate of 15% (or up to 75% for individuals who have reached retirement age), which decreases the closer the withdrawal date is to the exempt period. As a result, the tax on early withdrawal will be lower than the regular marginal tax. The benefit applies as a temporary provision until the end of 2024, and also applies to interest, linkage differentials and other profits in the fund, except for amounts of certain types defined in the law.
The votes on this bill
Coalition 64 seats
Left the coalition 8 seats
Opposition 48 seats
Tap an MK for detailsChanged position between readingsOnly MKs who held a seat on the day of the vote are shown