Particle.news

Tax Authority Expands Section 46 Rules to Existing Charedi Yeshivas

Tying donors’ tax credits to schools’ verification of students’ IDF status will put major fundraising at risk.

Overview

  • The Israel Tax Authority has extended Section 46 compliance so that institutions that already hold approval must now verify and report every student’s military status and ID number.
  • Schools must collect student documentation such as an IDF service card, exemption certificate, discharge papers or enlistment paperwork and submit lists with ID numbers to keep Section 46 benefits.
  • Failure to meet the new requirements can lead to revocation of Section 46 approval, which would strip donors of income-tax credits and sharply reduce a primary source of fundraising.
  • One outlet reported the initiative began in April with Attorney General Gali Baharav-Miara, and the expansion applies review requirements that until now were mainly for new applicants.
  • The move raises immediate administrative and financial pressure on charedi yeshivas, could prompt legal or political challenges, and touches on the wider dispute over military exemptions and state enforcement.