Global Mobility Presentation Immigration & Tax Services August 2013
Global Mobility Presentation Agenda: Immigration Team overview Immigration Services Human Capital Tax Services Page 2
Immigration Team Contact Details Name Position Phone No. Email Address Hagit Korine-Frenkel Partner 03 623 2733 Korine.Hagit@il.ey.com Hadar Zana-Hacohen Adv. Manager 03 623 2718 Hadar.Zana@il.ey.com Shiri Senderov Sr. Coordinator 03 623 2596 Shiri.Senderov@il.ey.com Diana Klimova Sr. Coordinator 03 623 2596 Diana.Klimova@il.ey.com Yarden Haviv Sr. Coordinator 03 623 2596 Yarden.Haviv@il.ey.com Hila Arama Sr. Coordinator 03 623 2596 Hila.Arama@il.ey.com Amit Mizrachi Admin Support 03 623 2550 Amit.Mizrachi@il.ey.com Page 3
Immigration Team Overview EY Israel enjoys the benefits of working under the umbrella of our global immigration practice in more than 150 countries. EY Israel's immigration team is an integral part of the Human Capital department, representing the largest practice in the country and the only team within the big four HC practices that provides immigration services 'in house'. Provides market-leading immigration and corporate relocation services to high profile companies of gas & oil, aerospace & defense, transportation, global insurance, hi-tech, medicine and many others industries; Holds strong and reliable relationship with the Israeli authorities. Page 4
Immigration Services Scope of Services Integrated tax and immigration advisory services; Immigration consulting and planning the optimal visa type; Assistance to obtain a blanket work permit for quota of employees; Extension of work permits and B-1 work visas; Filling of a special application for exceptional work visa extension (beyond 63 months); Leading special procedures for citizens of non-waiver countries, assistance to dependents to obtain B-2 visas; Providing client alerts on the latest immigration changes worldwide; Provision of the Letter of Opinion related to frequent business trips, on-shore and off-shore assignments. Assistance to exempt a company from government fees payments for 2 foreign seniors/executive specialists per year (e.g. Senior Manager, Executive Director). Page 5
B-1 vs. B-2 Visa for Business trips In order to legally work in Israel, foreign employees are required to obtain a work permit and an appropriate B-1 work visa prior to arrival to Israel. There are two main types of visas in Israel: B-1 - work visa for Foreign Expert (also B-1 for eligible under the Law of Return) B-2 - for visitors, family members, and business trips (for meetings, training, etc. but not "work ) Work is defined as any productive activity in Israel which presents economic value; If contractive work for value is to be performed, B-1 visa should be obtained; Foreign nationals from certain listed countries (from the Non Waiver list) are required to obtain a B-2 Visa at the Israeli Consulate in their home country, prior to their entry to Israel; Any circumstances and purpose of the trip should be analyzed prior to the employee's travel to assets visa requirements. Page 6
B-1 work visa for foreign experts The employee must have special knowledge that cannot be readily obtained from local labor in Israel; The employee must receive monthly base compensation in excess of double the average Israeli salary (amount is subject to changes & has to be checked in due course); The initial B-1 visa is typically for a period of up to 1 year and is renewable annually; The maximum period a foreign worker can hold a B-1 visa is 63 months; Application process can take between 2. 5-3 months to complete; Non-compliance with the Israeli immigration laws is a criminal offense. Page 7
Human Capital Tax Services Overview & Contact Details Tax & Compliance Services Residency Determination Social Security Services Payroll Services Name Position Phone No. Email Address Hagit Korine-Frenkel Partner 03 623 2733 Korine.Hagit@il.ey.com Danny Zucker Senior Manager 03 568 1061 Danny.Zucker@il.ey.com Page 8
Tax & Compliance Services Assistance with writing, reviewing and implementing client's relocation policy; Tax consulting related to construction of relocation assignments: payroll placement, setting a compensation package, optimal usage of expat tax regimes; Tax consulting on issues such as: residency determination, tax implications analysis; Exit and Arrival consulting meetings with the expatriates; Tax calculations to calculate tax liability, employee's net income and employer's costs. Calculations can be comparative analyzing implication of a few available regimes; Tax returns preparation and filing; TR Related services (electronic filing, review of assessment, assuring recording of filing in minimal time by the authorities); Representation with the Israeli tax authorities: residency, application of tax regime, equity implications Page 9
Social Security & Payroll Social Security Services: Tax consulting regarding social security coverage, types of schemes, treaty implications; Filing for social security certificate of coverage; Tax calculations and consulting with regards to withholding obligations; Representation with the social security authorities with regards to withholding issues, residency determination etc. Payroll Services: Monthly tax calculations (to calculate tax liabilities, net income and employer's costs, and provide assurance that expat tax regimes for expatriates will apply on the monthly payroll); Tax consulting regarding withholding obligations and its implementation; Employment law consulting. Should you have any questions or clarifications needed, do not hesitate to contact our team. Page 10
Thank you for attention