LEGAL BRIEF

For: Pinkas Flint Blanck

From: Andrés Franco Urdanegui
Date: May 22, 2017

Subject Procedures for the Aliyah

: under the Law of Return and
applicable inheritance law

Aliyah

The Law of Return entitles any Jew, his/her spouse children and grandchildren and their
spouses to immigrate to Israel. The procedure is now made almost entirely online, and is started
by contacting the Jewish Agency’s Global Centre at 0-800-404-8984 (free call), gci-en@jafi.org,
or jewishagency.org/Aliyah. There, representatives of the Jewish Agency will ask for the
required documentation to apply for Aliyah which includes the proof of Judaism and the civil
certificates that proof the relation with the Jew person. This documentation will vary depending
on the information the Jewish Agency relies on about the applying person.

When successful, the application will result in the issuance of an Oleh Visa (granting of the
immigrant status), with which the applicants will be able to travel to Israel. Within 90 days of
traveling to Israel with the Oleh Visa, Israel government will grant automatically the citizenship
for the Returnees. It is not required that the Returnees stay in Israel through these 90 days, but
they must obtain an “exit permit” from the Ministry of Interior, which is only a formality and is
normally granted automatically.

Applicable Inheritance Law

According to Peruvian and Israeli Private International Law, the Inheritance Law that will apply
for a succession, is the one from the last domicile of the deceased. If the deceased had moved
to Israel, the Israeli Inheritance Law will apply according to Peruvian and Israeli Law, and in this
case, there is no chance the Peruvian Law would be applied. Even in the case in which the
deceased had as last domicile other than Israel, if the assets to be inherited are located in
Israel, according to Israel Inheritance Law, this will be applied.

Inheritance in Israel is ruled by the Successions Law of 1965 1, by which assets are bequeathed
by will or by law. According to the article 2 of the Successions Law, inheritance is by law, except
in the sense there is a will 2. When there is no will, the distribution of the estate is governed by
the rules of intestate succession. Heirs at law will be the deceased’s spouse, the deceased’s
children, the deceased’s parents and grandparents. Heirs of the first degree inherit first.

It is recommended to prepare a will in Israel, as it gives freedom as to whom the inheritance will
benefit. It is important to note that there is no Estate tax in Israel.
Taxation
1
Successions Law of 1965. Retrieved from: https://www.nevo.co.il/law_html/law01/181_001.htm
2
“Article 2: Heirs are legal or determined by will. Heritance is by law when there is no will”.
Jr. Sucre 198, MIRAFLORES - Lima 18 – PERU - Tlf.: (511) 440-6011
E-mail: pflint@flintgroup.com.pe
As stated above, there is no Estate tax in Israel, by which inheritance could be diminished
before entering the heirs’ wealth.

Regarding the personal income tax, taxation is imposed in graduated rates. The annual bracket
amounts for 2017 expressed in Israeli shekels (ILS) are as follows:

ILS Tax (%)

0 - 74,640 10
74,640 – 107,040 14
107,040 – 171,840 20
171,840 – 238,800 31
238,800 – 496,920 35
496,920 – 640,000 47
640,000 – + 50

Where 1 dollar is equivalent to 3.58 Israeli shekels.

According to PwC’s Worldwide Tax Summaries on Corporate Taxes 2016/17, the following are
the most important tax scales:

 Corporate income tax: 25%

 Value-added tax: 17%
 Real estate capital gains: 25%

Jr. Sucre 198, MIRAFLORES - Lima 18 – PERU - Tlf.: (511) 440-6011

E-mail: pflint@flintgroup.com.pe