The National Bookkeeping Unit of the Israel Tax Authority conducted a targeted enforcement operation in the central region, during which audits were carried out at 41 businesses in the cities of Raanana, Ramat Gan, and Herzliya. Of the 41 businesses inspected, 18 were found to have failed to record income.
The operation included test purchases conducted undercover in some of the businesses. The operation targeted businesses across a variety of sectors: greengrocers, hardware stores, beauticians, lawyers, kiosks, and restaurants.
Among other cases, an audit was conducted at a greengrocer in Ramat Gan, where it was discovered that the business owner received 7,900 NIS from two customers and failed to record it in the business books, noting it only in a debtors’ ledger.
In another instance, an audit was conducted at a hair salon in Ramat Gan, which included a test purchase and an inspection of the owner’s mobile payment application. The audit revealed that the owner did not record the test purchase and also failed to record income of 1,000 NIS received via the mobile payment app. When questioned, the owner replied: “Regarding the 1,000 NIS, I wanted to give the service as a gift to the customer, but she insisted on paying and transferred it via Bit. As for the unrecorded test purchase, I have no idea why it wasn’t recorded.”
The National Bookkeeping Unit will continue to operate at any time and place to enforce the provisions of the law through routine activities and special operations, as part of the Israel Tax Authority’s extensive efforts against the “black economy” and tax evaders. This is part of a policy to increase enforcement to improve and maintain deterrence, aimed at ensuring truthful reporting and the collection of lawful tax, thereby increasing the equality of the tax burden among citizens.