Crypto taxation in Israel: the complete guide for 2025
Crypto in Israel? You must know the reporting and tax obligations. The Israeli Tax Authority tightens supervision, and failure to report may result in heavy fines.
Thank you for reading this post, don't forget to subscribe!Definition: crypto = “asset”
The IRS has determined that digital currencies are an “asset” for tax purposes. Therefore: capital gains from sale are taxable. Exchange between currencies (BTC to ETH) are also a tax event. The “purchase price” is the purchase cost in shekels.
Tax rates
Non-business individual: capital gains tax 25%. Individual engaged (merchant): Marginal income tax (up to 50%). Corporation: 23% corporate tax. Offsetting losses: A loss from the sale of crypto can be offset against other crypto profits.
What must be reported?
All crypto sales for shekels/foreign currency. Any exchange between digital currencies. Using crypto to purchase a service/product. Staking and Yield payments may be income. Crypto loans – are considered an asset under the supervision of the tax authority.
How to manage records?
Save an Excel sheet with each transaction: date, currency, quantity, price in shekels. Tools like Koinly and CoinTracker can generate automatic tax reports. Contact an accountant who specializes in crypto. Read about the Israeli regulation.
Open your MEXC digital wallet and get exclusive deposit bonuses. Over 1,700 digital currencies available!
🔗 Open a Free MEXC AccountAffiliate link • Sign up in seconds
