Israel sees 58 disclosures, 50M shekels in tax amnesty

A voluntary program in Israel designed to bring undeclared cryptocurrency holdings into the tax system has seen extremely low participation, falling far short of official revenue expectations. The initiative, launched by the Israel Tax Authority in August 2025, offers immunity from criminal prosecution to taxpayers who come forward to report previously undisclosed digital asset income and pay the associated taxes.

To date, only 58 taxpayers have filed disclosures under the program, reporting a combined total of approximately 50 million shekels in crypto capital. This figure represents a small fraction of the up to 1 billion shekels in tax revenue authorities had anticipated collecting. The program applies to individuals whose crypto holdings did not exceed 522,000 shekels as of December 31, 2024, provided they submit accurate reports and settle all taxes by the August 31, 2026 deadline.

Tax experts point to the program's structure as a key reason for the lackluster response. Unlike previous voluntary disclosure rounds for other assets, this initiative does not allow for an anonymous preliminary assessment. Iftach Simhony, a certified public accountant and head of the tax...