As part of the Government’s ongoing efforts to strengthen and deepen our relationship with Israel, we are announcing our intention to commence negotiations on a new Double Taxation Agreement between our two countries.
Australia has a warm and close relationship with Israel, supported strongly by Australia’s active Jewish community, but we do not currently have a Double Taxation Agreement with Israel. This is holding back closer economic and financial links between our countries.
A tax treaty with Israel would reduce the incidence of double taxation, provide greater tax certainty for businesses and enhance the integrity of both countries’ tax systems.
The level of foreign investment from Israel in Australia has tripled over the last three years. There is great potential to build on this.
Israel is a highly developed and advanced economy with particular strengths in technology.
There are opportunities for Australian companies to take greater advantage of Israel’s knowledge-based economy – particularly in areas of biotechnology, ICT, education and training. A Double Taxation Agreement would also encourage Israeli companies to view Australia as a regional base and as a supplier of sophisticated goods and services.