Self-employment and business

Opening a VAT-exempt business file

Check turnover and occupation before online registration.

3 minutes to read Last checked: 20.10.2026
Start guide ←
i
Important to know

Tachles Israel is an independent information service, not a government authority. Check binding conditions, eligibility and deadlines with the official source.

Before you start

VAT-exempt does not mean income-tax or National Insurance exempt; micro-business is a different classification.

Who is this guide for?

Individuals starting business activity.

!
Conditions and exceptions

Check current-year thresholds/professions; this is not personalised tax-route selection.

Step by step

The checklist

Checklist view →
Your progress0 of 5 Steps
01

Check suitability

Compare expected turnover and current threshold and Regulation 13 occupations requiring authorised status even below it.
What should you prepare?

Activity and forecast.

Please note

Turnover is not profit after expenses.

Official informationThis link opens an external website↗
02

Prepare opening evidence

Use ID, bank confirmation and premises agreement as required; separately living spouses should check Form 4440/authentication.
What should you prepare?

Required documents.

Please note

Do not use another person's bank/address without basis.

Official informationThis link opens an external website↗
03

Apply online

Enter start date/activity officially, send annexes and keep opening-system receipt/messages.
What should you prepare?

Application and receipt.

Please note

A draft is not approved registration.

04

Check insurance/withholding

The route may transfer National Insurance data through its questionnaire; employees/business rent may require withholding registration.
What should you prepare?

Work/rental data.

Please note

Confirm actual registration in every required file.

Official informationThis link opens an external website↗
05

Verify status and duties

Read approval, number and reporting and distinguish VAT turnover declarations from micro-business income-tax status.
What should you prepare?

Registration approval.

Please note

VAT exemption does not automatically select micro-business status.

Official informationThis link opens an external website↗

Official sources

These links let you check with the responsible authority. The website's verification date does not guarantee that every detail has remained up to date since then.

Frequently asked questions

Is an exempt dealer exempt from all taxes?

No. This is VAT status; income tax and National Insurance have separate rules and obligations.

Found inaccurate information or a link that does not work?

Reports help us check and update guides.

Report an error

Accessibility & display

Adjust your display preferences. Keyboard and screen reader access works without enabling these options.

Text size

Preferences are stored only in this browser. You can also use browser zoom.

Accessibility statement and contact