Tourists to Israel May Have to Start Paying Taxes on Hotels and Services

Lapid plans to cut VAT break for holiday-makers on vacation in Israel, a benefit in Israel that not all Western countries offer.

Spreading the burden apparently applies to tourists, too: Finance Minister Yair Lapid intends to cancel the VAT exemption currently in place for tourists. The move is likely to bring another NIS 300 million to NIS 500 million into state coffers annually.