The Israeli Knesset has approved a law for the taxation of undisturbed profits, the so-called "Trapped Profits Law". This includes a 2% tax on excess undistributed profits of holding companies classified as closely held companies with five or fewer shareholders as at the end of the preceding year, which is imposed from 2025. Alternatively, companies may avoid the 2% tax by distributing at least 6% of the preceding year's profits, although the rate is reduced to 5% for 2025 if the distribution…