Israel Trusts and Estate
Israel has been ‘home’ for many international families with a connection to the country both from an emotional “sense of belonging” as well as from a financial perspective “the start-up Nation” and involvement of international large companies such as Intel, Google Apple and Facebook.
- Published in Blog
Alon Kaplan and Lyat Eyal
Freedom of succession has created many discussions over the past few months for estate and trust professionals. This is mainly due to the EU Regulation, which for many is a significant development towards freedom of succession. Israel is a country of immigration and emigration. As movement of individuals between different jurisdictions is relatively simple, and the global world is relatively small, individuals tend to travel, and change their jurisdiction of residence (or domicile, as the different jurisdictions may permit), with assets and family members in different countries subject to different laws. This makes estate planning and, later, implementation of the plan complicated. The EU Regulation aims to resolve some of these issues.
- Published in Articles
Alon Kaplan and Lyat Eyal
This article treats the Israeli Hekdesh coupled with an Israeli underlying company as a foundation. It summarizes the taxation of foundations and trusts in Israel, as well as the main provisions of the relevant legislation as revised in 2013 which is now final and effective. The article then continues to discuss the appointment of protectors under Israeli law. Finally, the article provides for an interpretation of the arbitration law as it relates to foundations and trusts.
- Published in Articles
- Published in Book Reviews
Alon Kaplan, Author
Trusts in Israel traces the trust concept in Israel from its historical roots, through early 20th century application of European legal structures enabling the use of trusts for land acquisition in Ottoman times, private/commercial use during the British Mandate, and to current use of common-law trusts, the basis of Israeli trust law. The creation of trusts by law, by contract, by hekdesh deed (an Israeli trust) and testamentary trusts are examined. Public and charitable trusts are explored, and special attention is given to trust protectors, privilege and confidentiality, court jurisdiction, arbitration, taxation and foreign trust recognition.
Admitted to the Israel Bar in 1970, Alon Kaplan is also licensed to practice law in New York and Germany. He practices trust law in Tel Aviv, and lectures on that subject at Tel Aviv University. Alon is the founder and president of the Israel Branch of the Society of Trust and Estate Practitioners, general editor of Trusts in Prime Jurisdictions, and was also editor of Israeli Business Law: An Essential Guide.
- Published in Books
Cross-Border Estate Planning – The Israeli Angle
Alon Kaplan and Lyat Eyal
- Published in Articles
Alon Kaplan and Lyat Eyal
In Israel, local laws and governmental agencies regulate estate and inheritance matters. Consequently, in order to distribute estate assets, a petition for an inheritance or probate order must be filed locally. Such filings may be avoided by the establishment of a trust during one’s lifetime. By transferring assets to a trust/Hekdesh, they no longer form part of the individual’s estate upon death, and no court orders are then required to transfer the assets to the heirs. Since a trust is not a separate legal entity, a trustee may establish an Israeli underlying company to hold the assets for the trust.
- Published in Articles
