Recommended Services

Tax-loss offsetting is an important topic that every investor should understand. In many cases, capital losses from the sale of securities can be used to offset capital gains or dividend income, potentially resulting in meaningful tax refunds.

To simplify this process, several companies now specialize in identifying tax-saving opportunities and filing refund claims. In Israel, companies such as Fibo and Finupp offer convenient services that calculate and submit tax refund applications to the Israel Tax Authority.

These services typically connect to your bank or brokerage account—either automatically or by allowing you to upload your annual tax reports. They then calculate your gains, losses, and taxes paid throughout the year, identify losses that can be used to offset taxable income, and prepare and submit the necessary refund request on your behalf.

One aspect of this model that I particularly appreciate is that many of these companies operate on a success-fee basis. They only charge a fee if they successfully obtain a tax refund for you, usually as a percentage of the amount recovered. This removes much of the financial risk for investors while giving the company a strong incentive to maximize the refund you're entitled to receive.