The legislation establishing the Qualified Refundable Tax Credit (QRTC) regime was approved by the Knesset on March 30, 2026, as part of the Economic Arrangements Law. The framework introduces a tax credit mechanism for eligible R&D expenses, aimed at strengthening Israel’s competitiveness in attracting and retaining technology activity, particularly in light of the global minimum tax environment. We were actively involved in shaping the law, working closely with policymakers to ensure it is aligned with the realities of growth companies and relevant for those expected to benefit from it in the coming years. Among the key provisions, eligible tax credits may convert into a cash grant after four years, enabling meaningful benefits also for companies that are not yet profitable.For the full legislation:https://www.nevo.co.il/law_html/law00/241395.htm
