Starting a Yeshiva in Israel (Legal Information)
Starting a yeshiva in Israel is a legally complex process. It involves, among other things, setting up a non-profit organization (amuta), applying to the relevant authorities to get the yeshiva recognized as a Torah institution, and applying for budgetary support and exemptions from municipal tax and other taxes. Despite the large number and variety of yeshivas already existing in Israel, many more apply for recognition every year. Entrepreneurs and organizations dealing with this issue are not always aware of the large amount of bureaucracy that the process entails, or how to proceed. In this article, attorney Joshua Pex, a specialist in corporate and non-profits law from our office, will explain what you need to know about the subject.
Our legal offices, in Jerusalem and Tel Aviv, specialize in law concerning corporations and non-profit organizations. Our offices provide legal assistance to entrepreneurs and organizations, both in Israel and abroad, in setting up yeshivas in Israel; we also provide ongoing legal counseling to yeshiva owners throughout their operation, as well as representing them in dealing with authorities on issues such as recognizing yeshivas as Torah institutions, obtaining budgetary support, exemptions from municipal taxes and other taxes, etc.
Why are more and more new yeshivas being established in Israel?
According to recent reports, at the end of 2020 there were more than 140,000 yeshiva students in Israel. Many of them come from abroad to study Torah in Israel. Accordingly, thousands of yeshivas are operating in Israel. Due to the great demand and the existence of various yeshivas for different sectors of society, new yeshivas continue to develop. Quite a number of organizations in Israel and abroad would like to start yeshivas in Israel, but are not aware of the process and the many bureaucratic requirements involved. Our office, which deals with the areas of non-profit organizations and civil law, provides legal assistance on these issues, including ongoing legal guidance and counsel to yeshivas. In this article, based on our experience, we explain the issues that require attention when setting up a yeshiva in Israel.
What is involved in starting a yeshiva?
Anyone who wants to start a yeshiva or Torah institution in Israel is required to operate as a registered corporation. Generally a yeshiva is registered as a non-profit organization (an amuta). To set up an amuta, the law defines a number of requirements. One must submit an application to set up an amuta, and register at least two adult Israeli or foreign citizens as the founders of the amuta. If the amuta’s founders are foreign citizens, they must attach copies of their passports to the registration application. In addition, one must select a name for the amuta and define its principal objectives. Contact information for the amuta must be provided, such as its address and the addresses of its founders, and the registration fee must be paid. On our site we have published a guide with a detailed explanation on registering and setting up an amuta in Israel.
Official recognition of a yeshiva and obtaining support for a Torah institution
Registering an amuta is a primary and important stage in setting up a yeshiva, but it is not enough to get permission to operate it and receive support from the State of Israel. For a yeshiva to operate legally, there is a procedure which is handled through the Torah Institutions Branch of the Ministry of Education. This is a complex process, requiring that the organization submit an application and meet various conditions and requirements of the Branch.
As a rule, the condition for applying for support for yeshivas and Torah institutions is that the institution operate for at least two years before submitting the application. However, in certain circumstances it is possible to submit an exceptional request to exempt the institution from this requirement. Support for yeshivas is based on the number of students learning in them, and is intended to fund their studies. Even after the Torah institution obtains recognition, it will need to continue to meet various criteria in order to continue receiving support as a yeshiva. If it is a yeshiva in which students learn full time or a Hesder yeshiva, the institution will need to apply to be included in the list of yeshivas maintained under the Security Service Law. Our office provides legal guidance throughout these processes, as well as ongoing counsel for yeshivas throughout their operation.
Get an exemption from municipal tax for yeshivas
For several years now, yeshivas are supposed to be eligible for an exemption or significant discount on municipal taxes. This is a result of a reform in the law which established eligibility for such an exemption for a property which wholly or partially served as a synagogue. To obtain the exemption, an institution must meet the criteria set out by the law. It is required, among other things, that part or all of the property is primarily used for prayers. This is the situation, for example, when there is a synagogue within a yeshiva (as is common in many yeshivas). In addition, the exemption from municipal taxes should also be given for parts of the property that are used for studying Torah, or parts that are essential in order for prayers to take place. See here to read more about the ways to obtain an exemption or discount on municipal taxes for yeshivas.
Starting a yeshiva in Israel – contact an attorney specializing in laws regarding corporations and non-profits
In summary, for the establishment of a yeshiva in Israel and its ongoing operation afterwards, one must deal with a significant amount of bureaucracy, and therefore it is important to know the rules thoroughly and act accordingly. If you have any question or need assistance in this area, an attorney from our office with expertise and experience in non-profit organizations will be happy to be at your service. Our office specializes in laws regarding corporations and non-profit organizations, and assists in registering non-profit organizations, providing them with legal guidance in dealing with the tax authorities, and obtaining various exemptions for their operations.
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:מאמרים מומלצים