Kandel Says Panel Miscalculated on Resource Tax: Israel Markets

An Israeli government panel that recommended higher royalties on the country’s natural resource companies in May will adjust its final proposal this week to avoid hurting investment, a member of the committee said.

The panel changed interim recommendations because there was “some miscalculation” that would have created a disincentive for investment, Eugene Kandel, a panel member and the head of Israel’s National Economic Council, said in an Oct. 17 interview at Bloomberg’s New York headquarters. Israel Chemicals Ltd., the country’s second-largest publicly traded company, froze $1 billion of spending at home amid the proposed tax increase. The final recommendations will be submitted to the finance minister Yair Lapid today, the ministry said in an e-mailed statement yesterday.