Israeli Tax Authority Releases Guidelines on Taxation of Investments via SAFE Agreements

SAFE agreements israel tax authority

Introduction: In May 16, 2023, ~10 years after the first SAFE was signed, the Israeli Tax Authority (ITA) has issued guidelines regarding the tax implications of investing in companies through Simple Agreements for Future Equity (SAFE). The guidelines were prompted by a request from Israel Advanced Technology Industries (IATI), raising concerns for the hi-tech industry, … Read more Israeli Tax Authority Releases Guidelines on Taxation of Investments via SAFE Agreements

Benefits of SAFE for Startup Founders

smart investing and startups

Simple Agreement for Future Equity, also known as SAFEs, is an agreement mainly (but not only) used by founders to raise capital during the early stages of the startup. SAFEs are considered as an alternative to the established convertible note structure. It provides the advantages of convertible debt minus its disadvantage, in order to simplify … Read more Benefits of SAFE for Startup Founders