national water company Mekorot received a new tax assessment for 2015

The national water company Mekorot received a new tax assessment for 2015 in the amount of approximately NIS 378 million. "The assessment is mainly based on the recording of income and expenses mainly due to the linkage differences on fixed assets, the recording of traffic in regulatory deferred accounts as well as the costs imputed to the assets under construction," the company says.
In addition to the interest and linkage differences of NIS 80 million, the total payment that the tax authority requires from the company reaches NIS 458 million. For comparison, this is about a third of the company's total revenue for the third quarter of 2020, which amounted to NIS 1.5 billion.
The company intends to fight the tax and claim that they disagree with the position of the tax authority. Mekorot clarifies that it "disagrees with the position of the Tax Authority and believes, after a preliminary examination, among other things, based on its professional advisers, that it has good arguments against the position of the Tax Authority."
Sources also say that the company intends to "submit an objection to the assessment at the deadlines set by law, with the bottom line being that" as long as it is required after the completion of the acquisition procedure, to consider applying to the courts "to cancel the assessment submitted to it.