Dear customers,
Further to our recent publication regarding the update of transfer pricing (TP) regulations [1], in December 2022 an update to form 1385 (Declaration Form Regarding an International Transaction Between Related Parties) was published. The form is required to be included in the annual tax return.
The main change in the form is that now, the taxpayer must declare that a TP analysis was prepared in accordance with Israeli TP documentation requirements, for the date of submission of the tax return to the tax authorities.
There is no doubt that this requirement in the form is an upgrade to the reporting requirements determined by the Israeli Tax Authorities.
The TP team in our offices is at your disposal for providing any relevant explanation for filling out the form.
For further details and assistance, please contact:
C.P.A. (Adv) Amit Shalit, Partner and Head of Transfer Pricing
By email: AmitS@bdo.co.il or by telephone: 052-6008056