What happens if I miss the tax filing deadline in Israel?

Under Section 191 of the Income Tax Ordinance, a late return attracts a civil penalty of NIS 500 per month for the first 12 months and NIS 1,000 per month thereafter, up to a maximum of NIS 18,000. Any unpaid tax also accrues linkage differentials indexed to the CPI plus 4% annual interest. Deliberate non-filing is a criminal offence under Section 216, and if the ITA suspects evasion, penalties under Section 220 can include up to seven years imprisonment.