How to Issue an Invoice for a Foreign Client Without VAT
Are you an Israeli worker providing services to an overseas company? NETO lets you issue a legal, VAT-exempt invoice to your foreign client in 5 minutes – no business registration required, fully legal, licensed staffing company #1565.
סיכום AI · חשבונית ללקוח זר · פטור ממע״מClick to read the page summary
הדף מסביר איך להפיק חשבונית חוקית ללקוח זר דרך NETO תוך 5 דקות, בלי לפתוח תיק עוסק. במקרים המתאימים לפי החוק הישראלי, החשבונית פטורה ממע״מ. השירות מתומחר בשקיפות · עמלה של 5% בלבד. הדף כולל הסבר מתי חל הפטור, תהליך בן חמש דקות וחוות דעת של משתמשים.
When Issuing a Foreign Client Invoice · Is VAT Charged?
Under Israeli tax law, every invoice issued in Israel is subject to 18% VAT · unless the work was done by an Israeli resident for a foreign client with no branch and not registered with Israeli tax authorities. In that case: 0% VAT may apply · subject to specific conditions under Israeli VAT Law. Please note: Zero-rate VAT (0% VAT) is permitted only under very specific circumstances defined in Israeli VAT Law, and is not automatic. Each case must be individually assessed based on the exact legal conditions, the nature of the service, and the client’s legal status. Compliance with all requirements is the full responsibility of the service provider.
⚠️ Disclaimer: The information on this page is general in nature and does not constitute legal or tax advice. The applicability of 0% VAT depends on complex legal requirements under Israeli VAT Law. Each case must be assessed separately with a licensed tax attorney or CPA. Do not issue 0% VAT invoices without specific professional guidance.
How to Issue a Foreign Client Invoice in 5 Minutes
Anyone can work through NETO for a foreign client as staffing / outsourcing. After agreement, the system issues an invoice to the client in English and VAT-exempt, and after work is completed, transfers payment to you as a payslip.
- Register as a NETO freelancer – it's free
- Fill in Form 101 (optional: tax coordination in the system at no cost)
- Issue the invoice – enter client details, transaction details, and invoice amount
- Receive a salary simulation – see gross, deductions, and net amount
- Confirm – invoice is sent to client automatically in English
