Israel: Pillar Two global minimum tax rules approved by Parliament
Effective January 1, 2026
The Parliament (Knesset) on December 29, 2025, approved legislation implementing the Pillar Two global minimum tax rules.
The legislation introduces a qualified domestic minimum top-up tax (QDMTT) applicable to multinational enterprise (MNE) groups with consolidated revenues exceeding €750 million in at least two of the four preceding fiscal years, and mandates compliance and reporting obligations to the tax authority, effective January 1, 2026.
For more information, contact a KPMG tax professional in Israel:
Moshe Weiss | mweiss1@kpmg.com