13036 Principles of Income Tax
Credits: 3 graduate credits in Business Administration / Law, Ethics and Taxation
Prerequisite: Admission to the graduate program in Business Administration
Authors: Joseph Gross, Sagi Gershgoren
Objectives: To impart knowledge, skills and tools to business managers for understanding revenue income tax guidelines in light of the comprehensive tax reform in Israel. The course focuses on acquaintance with the income tax and the capital gains taxation system and its legal, accounting, economic and business contexts, underscoring individual, corporate and international business taxation in relation to Israel. The course also provides skills, concepts and practical analysis tools for evaluating and choosing among business alternatives with tax implications.
Topics: Basic concepts and principles in Israeli tax law; Distinction between revenue income and capital income and the essence of the source theory of income; income from an active source: business and profession, wages; income from passive sources and from other sources; deductions; offsetting losses; exemptions, capital gains tax and capital gains tax issues pertaining to the sale of shares and options issued to employees and the sale of tradable securities; corporate taxation; international taxation: issues of personal and territorial taxation, taxation of international corporations and preventing double taxation; incentive tax laws; tax planning, tax evasion and artificial transactions.