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Yosef Hatzaddik takes on one of the most ambitious projects in human history.The Eqyptians had all been forced to sell their land to Pharoah due to the famine and were now merely staying there as farmhands. The Torah then tells us how Yosef relocated the entire population of&nbsp; Egypt and required millions of people to move house (47:21).Rashi explains that the purpose of this move was to drill into the Egyptians that they were no longer the owners of their own land.&nbsp;Why does the Torah have to tell us about this seemingly purely economic move by Yosef? Rashi goes further and tells us that there was an underlying intention behind Yosef’s actions. He knew that his brothers were ultimately making their way down to Egypt and he didn’t want anyone to insult them by calling them foreigners. Through this mass displacement venture he made everyone a foreigner in their own land so that the potential insult would completely lose its punch.The Kli Yakar is troubled by the fact that this is somewhat extreme. To cause so much suffering and balagan just to avoid an insult? He explains that it wasn’t simply about preventing awkward conversations, it was about changing the Egyptian mindset in order to soften the blow of his brothers coming down to Egypt. They would be greeted by a population who felt their pain and had personally experienced starting up a new life in a new home. This was vital for stabilizing his brothers as a community in Egypt before the persecutions began.Through Yosef’s policies, Pharaoh came to own all the land of Egypt, effectively consolidating the entire land registry under a single name. In Israel, the Tax Authorities are not so lucky. Currently, the rule is that if you have income from a rental property which makes less than 5,654NIS a month, you don’t have to report the income or pay tax on it. Consequently, the Authorities don’t have info on many rental transactions. They don't know who owns or lives where. There is a proposal to change this, requiring reporting even on rental transactions which fall below the threshold. In the meantime, they just have to wait until a missile hits. The head of Reshut Hamissim recently boasted about the amount of tax evasion they exposed during the Iran 12 Day War. When a missile struck a home, the tenants applied for compensation and were required to prove that they lived at the address. To do so, they submitted their rental contract. Upon reviewing the contract, the Authorities were able to identify the landlord and then pursue them for unreported rental income.We don’t know what tactics Pharoah used in making sure there was no unreported private use of his land.For any missile related or other financial issues you require assistance with please reach out at aharon@goldwaterfs.co.il.Good Shabbos.

Vayigash 5786 – Landlord or Lord of the Land

Oil being poured from a large bottle onto a spoon

Crude oil is sometimes referred to as black gold, given its connection to general economic development and growth. Olive oil can also be a great industry for a country. Spain recently legislated an arms embargo against Israel, but they are still perfectly happy to sell us Olive Oil for our Menorahs. Clearly their understanding of Chanukah and the true power behind the Jewish war machine is somewhat lacking.One man’s gold is another man’s rubbish (or trash for my readers across the pond). Accounting is all about putting a number and fixed value to assets and liabilities, even when it’s tricky to do so. How do the Tax Authorities deal with these situations? Sometimes an object’s main value is due to it’s sentimental or religious value. Does that count as a valuation?For example, a family decides to write a Sefer Torah in memory of a recently passed relative and donate it to their local Shul. They then seek to get tax deductions based on the donation. In Israel it’s a 35% credit. Is there any monetary amount that can quantify the emotions and feelings tied into the Sefer Torah? For the family, and maybe even the community, it is priceless. But how do you tell that to Mas Hachnassa?Tax Authorities generally go with the market value. What could this item be sold to a third party for? In this case, say the Sefer Torah could be sold for 50,000NIS, then that would be the price. Even though the family would never dream of selling it.We find a fascinating theme throughout the Chanukah story. The Greeks seemingly stopped short in their goal of destroying the Jewish people. They clearly had control of the Beis Hamikdash, so why didn’t they destroy it? They defiled all the oils, why not spill them out? They took off the doors of houses, why not destroy them? They abused brides, but stopped short of forbidding marriage?The answer clear. It all has to do with value. What is something worth to you? The Bach explains that the suffering from the Greek empire came upon the Jews as they did not value the service of the Beis Hamikdash enough. They were lax and lazy in its performance. Only when they showed that they were willing to fight and die for what they believed in were they redeemed.The Greeks had no problem with cultural Judaism. You can have your homes, families, Temple and even your Menorah. But the Greeks tried to convince us of one thing. You’re not special. Nothing you do is meaningful or valuable. It’s nice and cute and culturally acceptable but doesn’t really matter.Chanukah is when we celebrate the spark in our lives that makes them special. We rededicate ourselves to living lives of values and achievements that matter.For any oil related or other financial issues, please reach out at aharon@goldwaterfs.co.il.Good Shabbos, Good Chodesh and Happy Chanukah!

Chanukah 5786 – Black Gold

The most controversial coat in human history plays center stage in this week’s Parsha. What was Yaakov thinking when he aroused the violent jealousy of the brothers against Yosef by gifting him a special coat?The Radak says the coat was a natural showing of love from Yaakov to Yosef. He was his favourite son, and it showed. The Chizkuni on the other hand, says it was to appease Yosef who was having a rough time feeling left out of the brotherly clan. According to these explanations, the coat had nothing directly to do with the dreams and Yosef’s aspirations.The Sfono explains that Yaakov was trying to insinuate something significantly more far reaching with the gift. The coat wasn’t your average Shaina Coat or Bekisha, it was a coat of royal design. It was the uniform of a future leader in training. Yaakov believed the dreams and wanted to give his helping hand in their fulfilment. The ill-fated judgment comes back to haunt Yaakov, as it is that exact coat which is brought to him as “evidence” of Yosef’s fate. The coat provides a striking symbolism of not just his son, but also his dynasty, the kingdom of Bnei Yisroel being ripped to pieces and covered in blood.The exact usage of coats and clothes as deductible business expenses has been in the spotlight for long time. On the one hand, people do buy special clothes specifically for their line of work. A policeman, surgeon, fire fighter, professional swimmer most certainly have clothes which they buy specifically for their work and are for sure a legitimate expense.On the other side of the spectrum, it goes without saying that you can’t turn up to work, even in Israel, not wearing any clothes at all. You have to wear something. So all clothes are a business expense?The Israeli Tax Authorities lay down the boundary at anything you could wear out of work in a day to day setting is not deductible. An Israeli lawyer tried to claim his tie as a business expense. The court ruled that even though he never would, since he could wear a tie in normal settings it wasn’t allowed.There hasn’t been a test case of a Rebbe claiming his Streimel is purely for work purposes, but according to this rule he’ll probably fall short.So back to Yosef. According to Radak and Chizkuni, the coat was a gift and had nothing to do with any leadership role. It is definitely a private expense. According to the Sforno, it depends. If, as some say, the coat was multicolored, it would only be worn on special occasions and could not be socially acceptably worn to Mincha on a Tuesday. Therefore it could be claimed by Yaakov as a business expense for “Bnei Yisroel LLC”. If, as some say, it was a regal blue, meant to be worn the whole time and could be worn on ordinary occasions as well, then it’s not deductible.For any Coat related or other financial issues you require assistance with please reach out at aharon@goldwaterfs.co.il.Good Shabbos.

Vayeishev 5786 – Joseph and the Amazing Tax-Deductible Dream Coat

&nbsp; There is a well-established custom on Shabbos Parshas Vayishlach that someone in shul will inevitably come over to me, excitedly announcing that they’ve found my name in the parsha.When the Torah lists the various kings who descended from Eisav, it tells us about Hadad, whose city was Pau, and whose wife was Meheitavel, “the daughter of Matreid, the daughter of Mei Zahav” (36:39). Of course, the literal meaning of “Mei Zahav” is Goldwater. Such yichus!But who was this mysterious “Mei Zahav”? The commentaries debate it fiercely.Rashi implies that Matreid and Mei Zahav were the same person, with “Mei Zahav” being a nickname. Ibn Ezra disagrees, arguing that Mei Zahav was the grandfather. Alternatively, he suggests Matreid and Mei Zahav were the mother and father of Meheitavel. Ralbag offers further possibilities—perhaps Mei Zahav was a foster parent or a grandmother. One thing is clear: the Torah goes out of its way to mention someone who seems completely tangential to the storyline. Even the Radak was puzzled.Rabeinu Bachayei sheds light. He explains that Matreid and Mei Zahav were indeed the same person. “Matreid” comes from tirda—a person constantly driven by worry and toil, working endlessly to acquire wealth. Yet he was also “Mei Zahav”—someone for whom gold flowed like water. This is the sort of family Eisav intermarried with: people obsessed with making money yet never satisfied by it.The Torah includes this detail to warn us about such a miserable type of individual, even if the figure appears only on the margins of the narrative.At the same time, the Torah’s view of wealth is far more nuanced. Chazal tell us (Eiruvin 86a)* that Rebbi and Rabbi Akiva respected the wealthy. The Meiri explains that they themselves were wealthy and understood that money is a tool—when used correctly, it enables tremendous good.Modern tax systems—including Israel’s—often punish high earners with incremental tax rates. The assumption is that “those with the broadest shoulders should bear the greatest burden.” Besides being economically counterproductive, this attitude is fundamentally immature. The Torah’s view is that wealth should be respected, not demonized. When society views wealth as a positive force rather than a treasure chest to plunder, it can be used wisely for the benefit of all.If you’d like help with gold-related or any other financial services, feel free to reach out: aharon@goldwaterfs.co.ilGood Shabbos!

Vayishlach 5786 - Goldwater's Finances

The Israeli taxi driver is one of the country’s most beloved institutions. He will regale you with his life story, explain how he only became a taxi driver after giving up careers as a Rosh Yeshiva or a dentist, and describe how he could stop the Russia-Ukraine war—all within the span of a 10-minute journey.This week we read about the travels and adventures of Yaakov Avinu. One journey, in particular, stands out: the journey that never happened.The Gemara (Chullin 91b) says that when Yaakov arrived in Charan, he was unsure whether he had passed over Har HaMoriah, the site of the future Beis HaMikdash, where his ancestors had prayed and he had not. This caused him great distress, so he decided to go back. Immediately, a Kefitzas Haderech (“shortening of the path”) occurred, and he suddenly found himself on the holy mountain of Har HaMoriah.There is much debate as to how exactly Kefitzas Haderech occurs.The Chida asks: How could Yaakov be unsure whether he had passed over Har HaMoriah? He explains that there had been a previous Kefitzas Haderech when Yaakov first travelled from Be’er Sheva to Charan. He simply did not understand how it worked. Was it that an angel carried him on what would have been an 18-day journey in just a few hours? Or had Charan itself been miraculously uprooted and brought near Be’er Sheva, only to return to its proper place?The Ben Yehoyada disagrees. He finds it unreasonable to suggest that Charan was uprooted. Why would Hashem perform two miracles—moving Charan back and forth—instead of just one? Rather, he explains, Kefitzas Haderech can occur in one of two ways: either one travels on a cloud in the sky, or one’s leg strides miraculously lengthen. Yaakov was unsure which had happened. Had he been on a cloud, he would not have passed through Har HaMoriah; had he been on miraculous strides, he would have. He simply did not realize what was happening, as he was too immersed in having the right kavanos and Yichudim—intentions and spiritual focus.It seems Israeli taxi drivers face a similar problem. According to Israeli law, a taxi driver must turn on the Moneh (meter) for every journey. They are allowed to charge whatever the passenger agrees to, but the meter must be on. This was introduced a few years ago as a way of tracking taxi drivers’ income. A recent investigation by the Tax Authorities found that a staggering 80% of taxi drivers do not do this. This move costs the government millions in lost tax revenue each year, as passengers simply experience a modern-day Kefitzas Haderech.For any taxi-related or other financial issues, please reach out at aharon@goldwaterfs.co.il.Good Shabbos.

Vayeitzei 5786 – Taxes and Taxis

Ever had it happen that money just appeared in your bank account? That the balance was far higher than what you were expecting? It may sound like a dream to some, but it can be a nightmare for others. There is little in the world more disturbing than not knowing what is going on with one’s finances—whether business or personal.The Torah tells us that this is exactly what happened to Yitzchak. He began an agricultural venture, planting and reaping in the land of Gerar. Despite the land being particularly infertile and the year being one of famine, he managed to produce an impressive return of 100× equity in a single year (26:12). That’s an IRR of 9,900%, even under the conservative assumption that it took only one year to produce.The Midrash (Bereishis Rabbah 12:6) comments that Chazal generally discourage measuring one’s material gains, stating that “blessing is not found in something that is counted, weighed, or measured.” The philosophical basis for this is that Hashem avoids performing open miracles; therefore, He is less likely to intervene when the result would be immediately noticeable. If accounts remain messy and stocks are unmeasured, G-d can “get away” with increasing blessing under the radar.So why, then, did Yitzchak measure his crops against the advice of Chazal? The Midrash explains that he did so solely in order to give maaser, a tenth of his profits to charity. The message of prioritization is clear. It wasn’t the cash flow or the profit margins that interested Yitzchak. He put in his effort, but the bottom line was in the Hands of Hashem. Nevertheless, Yitzchak chose to be meticulous in accounting so he would know exactly how much to give to those in need.If you have unexpected money in your account or other financial issues that require assistance, please reach out at aharon@goldwaterfs.co.il.Good Shabbos.

Torah & Taxes Blog

Vayigash 5786 – Landlord or Lord of the Land

Chanukah 5786 – Black Gold

Vayeishev 5786 – Joseph and the Amazing Tax-Deductible Dr...

Vayishlach 5786 - Goldwater's Finances

Vayeitzei 5786 – Taxes and Taxis

Toldos 5786 – Yitzchak’s Accounts