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Angels Law

Investments in Israeli R&D-intensive companies in the seed stage of R&D activities carry a high risk to investors and sometimes are lost as a result.

To increase the financing sources of these companies by enlarging the volume of investment in them, the individual investors (angels) are given the option to deduct the investment amount from their current expenses for tax purposes.

In order to do so, the target company that wants a deduction of the investment in its shares to be accepted as an expense must obtain approval from the Authority for its R&D expenditures. This law was substantially amended in late 2015 and now provides investors in Israeli R&D-intensive companies a higher degree of certainty.

For additional information please contact:
Startup Division

Email: SU@innovationisrael.org.il