Israeli residents who file taxes with the US Internal Revenue Service (IRS) will be granted an extension of almost a year (until October 7, 2024) for filing their 2022 tax return. The extension was granted by US Treasury Secretary Janet Yellen, following a request from the Director-General of the Israel Tax Authority, Shay Aronovitch, to his American counterpart, Daniel Werfel, in parallel with a request from the Economic Attaché in Washington, Nehemia Kariv, to the US Treasury Department. The requests of Aronovitch and Kariv were made at the request of Israeli Finance Minister Avigdor Lieberman.

The extension was granted due to the security situation in Israel in the wake of the Iron Swords War, and it is a major relief for American citizens living in Israel as well as for Israeli companies that have subsidiaries or parent companies in the United States. This is mainly due to the fact that the deadline for filing taxes for 2022 in the United States is tomorrow, Monday, October 16.

The IRS typically grants extensions to foreign residents for filing annual tax returns in cases where they are residents of a country that has experienced a natural disaster or a disaster as a result of war or terrorist activity. According to the regulations, it is customary to grant an extension of up to one year with the approval of the US Treasury Secretary.

The extension applies to all actions required by tax laws, including reporting income, assets, gifts, inheritance funds, or paying taxes.