News Briefs

  4/8/2014, Nissan 8, 5774

3 Arrested Trying to Profit from VAT Exemption in Eilat

3 residents of an eastern Jerusalem neighborhood were arrested last week by the southern city of Eilat’s tax investigation department for allegedly purchasing tax-free cellphones in Eilat in order to sell them in central Israel.

The sale of items purchased in Eilat elsewhere in Israel is illegal, due to the 18% VAT surcharge, exempt in Eilat but valid elsewhere in the country that the vendors immediately pocketed.