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General guidance only — not legal or tax advice

Step 1: Register as an Independent Contractor in Israel

To receive payouts from Kelaviv, you must be registered as self-employed in Israel.

For many new sitters, the usual setup is Osek Patur, and some may also qualify as Baal Esek Ze'ir for simpler tax reporting.

What's the difference?

Osek Patur (עוסק פטור)

A small-business VAT status

  • Usually for businesses under the annual turnover ceiling
  • You generally do not charge VAT
  • Bookkeeping is simpler than Osek Murshe
  • Common starting point for new pet sitters

Baal Esek Ze'ir (בעל עסק זעיר)

A small-business Income Tax classification

  • A newer Income Tax classification for very small businesses
  • May simplify your tax reporting
  • May allow a standard 30% expense deduction
  • Many sitters may qualify automatically when opening Osek Patur

These are not competing options. Many sitters may have both at the same time.

What's usually best for new sitters?

For most new Kelaviv sitters earning under the annual threshold, the recommended setup is usually Osek Patur — plus Baal Esek Ze'ir if you are eligible.

This is often the simplest setup for getting paid legally and keeping your tax reporting manageable.

It may be especially helpful for first-time freelancers who want to keep things straightforward.

Your Registration Checklist

Check whether your expected annual income fits the Osek Patur limit

The current annual turnover ceiling is around ₪120,000/year (updated annually by the tax authority). Make sure your expected income falls below this threshold.

Prepare your documents

Have your ID (Teudat Zehut), bank account details, planned business start date, and an estimate of your expected yearly income ready.

Open an Osek Patur file with Rashut HaMisim

Open your Osek Patur file online via the Israel Tax Authority (Rashut HaMisim) website, or by visiting your local VAT office (Ma'am).

Confirm whether you qualify as Baal Esek Ze'ir

When you open your Osek Patur file, check with the tax authority whether you are automatically classified as Baal Esek Ze'ir for Income Tax purposes.

Register as self-employed with Bituach Leumi

Register or update your employment status as self-employed with the National Insurance Institute (Bituach Leumi).

Start receiving payments and issue correct receipts

For every payment you receive, you must issue a receipt (Kabala). Keep your bookkeeping organized and save all business-related records.

Submit yearly declarations and keep records organized

Submit the required yearly declaration of income to the tax authority. Keep your records organized throughout the year to make this easier.

What happens after registration?

  • You can receive payouts from Kelaviv legally.
  • You are responsible for your own taxes, reporting, and compliance.
  • You should keep good records and monitor your yearly income.

Important Disclaimer

Kelaviv does not provide tax or legal advice. Every sitter is responsible for their own registration, tax filings, and reporting obligations. If your income grows or your situation changes, your business status may also need to change.

Frequently Asked Questions

Already registered? Skip ahead to the sitter application.

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