Where Will Israeli Venture Capital Companies Pay Their Income Taxes.(US claims right to tax...

Income Tax Authorities in the United States and Israel are at odds over which country has the right to tax profits of Israeli venture capital companies that have invested in Israeli high tech companies registered in the US. The American Internal Revenue Service (IRS) claims profits should be taxed according to the country where they are created. Under this claim, since US registered companies issue their shares there, profits should be taxed and paid in America. Israeli tax authorities contend that the decisive factor in taxing venture capital firms is not the country of incorpora