Palestinian territories

Taxable period

The taxable period is the calendar year starting 1 January and ending 31 December.

Tax returns

Tax returns must be submitted by 30 April of the next year. Manual tax returns should be submitted to the Income Tax Department in person.

Assessing the tax

The tax shall be assessed as follows:

• Self-assessment by the taxpayer by submitting the tax declaration and its attachments.
• Administrative assessment by the assessor if the taxpayer did not submit the tax declaration or if it is totally or partially rejected.
• Assessment by agreement between the taxpayer and the Department on the amount of tax liability if the assessor does not accept the self-assessment or the taxpayer objects to the administrative assessment.
• Assessment by the Court.

Payment of tax

Payments must be made in advance as either:

• One single payment (entitling the taxpayer to a discount).
• Equal instalments:
  • First instalment:  End of quarter one.
  • Second instalment:  End of quarter two.
  • Third instalment:  End of quarter three.
  • Fourth instalment:  End of quarter four.

Any remaining tax liability will be paid along with the tax return.

Statute of limitations

The statute of limitations is four years.

Topics of focus for tax authorities

Topics of focus for the Palestinian Tax Authorities include revenues, expenses, inventory, and purchases.