Invoice Clearance / Allocation Number

The חשבונית ישראל programme mandates that invoices above the threshold receive an allocation number from the Israel Tax Authority before the buyer can claim input VAT. The rollout is phased by business size from 2024, reaching all businesses by 2025–2026.

01
Obstacle

Current accounting software does not call the ITA clearance API — buyers reject invoices.

Solution

Every invoice automatically requests the ITA allocation number; the number is printed and stored with the document.

02
Obstacle

Not sure which invoices need clearance today vs. next year as the threshold drops.

Solution

Threshold logic is updated as ITA publishes each phase; the system self-configures for your business size.

What happens if I issue an invoice without an allocation number?

The buyer cannot deduct input VAT on that invoice; the ITA may also impose penalties on the issuer.

Allocation number on every invoice

ITA clearance automated — buyers can always claim their input VAT.