In Israel there are two types of “Non Profit entities” which you can register.
One type is called an “Amota” and the other type is called “Not For Profit Company”. Until the year 2007 it was possible to open a “Non Profit Company” with out all the standard restrictions and regulations, which apply for “Amotot”
However since “amendment 6” to the “Company’s Law” basically all the same requirements which apply to “Amotot” today also apply to “Company’s For The Benefit Of The Public or “Non Profit Company’s”.
Our firm assists many clients with registering either “Amotot” or “Non Profit Company’s”, there are very small differences but in general it’s almost the same.
After one registers a “Non Profit entity” the next step is to open a bank account so that donations can start coming in. After the bank account is open the step that come after that is to go to the tax authorities to be recognized as “Hamalkar”
Which is a “Not For Profit institution” which only an “Amota” or a “Non Profit Company” can be recognized as. Once you are “Hamalkar” or “Non Profit Institution” you are subject to either to the hospices of the register of “Amotot”
Or to the hospices of the register of the public endowment and they will grant you a proper management certificate if you meet all their regulations and in order to meet their regulations its important to submit every year a list of documentations which our firm assist in compiling for our clients on a yearly bases together with an accountant. An additional stage, which is important if you want local donors within Israel to receive 35% tax return at the end of the year, is to be recognized as a “public Institution according to “Section 46” whiting the “income Tax Order” which is something that together with an accountant firm we help many of our clients to obtain.
If you are interested in registering a “ Non Profit Institution” within Israel please feel free to contact us and we will be happy to answer all your questions.