We do two jobs in one. We are the ITA-approved trustee that holds the carry rights and protects the preferential rate, and we are the financial infrastructure that runs the whole distribution: receiving the funds, withholding per the fund’s approval, and paying the balances out to the partners. We manage the distribution process on the most advanced platform in the market, in line with the GP’s instructions and the fund’s approval.
Fund partners sit in Tel Aviv, New York and London at once. We distribute to all of them from one regulated account: multi-currency payouts worldwide, Israeli and foreign members handled in the same flow, each with the right withholding and a clean statement. The complexity stays on our side.
Multi-currency distributions to partners anywhere
Israeli and foreign members in one distribution run
A clear statement for every partner, every time
Withholding done exactly right
The mechanics are unforgiving. That is the point of hiring us.
Wrong rate, wrong report, wrong timing, and the preferential treatment can collapse. We run the blended rate per fund, the per-participant split for Israeli and foreign members, the surtax treatment per the ITA’s position, and the remittance schedule, so the benefit actually survives contact with the tax year.
Blended rate applied per fund, per participant
Income allocated and tax withheld for Israeli and non-Israeli participants, as applicable.
Remittance, reporting and certificates on schedule
Trustee and paying agent in one
We run the whole distribution, not just the tax.
Most trustees hold the rights and stop there. We also run the money: we receive the carry into the regulated account, withhold per the fund’s approval, and pay the balances out to every partner, all on the most advanced platform in the market. Participants are onboarded digitally, documents are signed in the system, withholding certificates are deposited and stored, and every statement sits in one place. We manage the full process, from receipt of funds to payment of net distributions.
Funds received, withheld and distributed to the partners by us
Digital onboarding, document signing and certificate deposit on PEaX
One platform, one point of contact, from money in to money out
How it works
From money in to money out.
01
Trustee in place.
Once the fund’s plan and trustee approval are in place, with the fund’s advisors, we are appointed and the trust account is opened, ready to receive carry.
02
Participants onboarded.
The GP provides the participant list; each member is onboarded on PEaX with KYC, documents signed in the system and banking details confirmed.
03
Funds in, balances out.
Carry is received into the regulated account; after the lockup we withhold per the approval and pay the balances out to each partner, per the GP’s instruction, all on PEaX.
04
Remittance and certificates.
Withholding remitted to the ITA on schedule; certificates issued to every participant on PEaX for their annual filings.
FAQ
Common questions
Direct answers on carried-interest (IVA) trustee services.
What tax rate applies to carried interest in Israel?
The tax rate is determined by the fund’s approval, the participant’s identity and applicable law.
What happens without an approved trustee?
There is no arrangement. Carry is then taxed as ordinary business income at marginal rates. Depositing the rights with a trustee approved by the ITA is what creates both the deferral and the blended rate: the trustee is not an accessory to the structure, it is the condition for it.
Some of our GP members are foreign residents. How is their carry taxed?
Generally taxed on carry arising from the fund’s Israeli investments, and outside Israeli tax on carry from its foreign investments. The trustee runs the split per participant and withholds accordingly, all tracked on PEaX.
What does the GP need to provide?
The participant list and distribution instructions, plus the fund’s plan and trustee approval, which the fund’s advisors put in place. From there we run the whole flow: receiving the funds, withholding per the approval, paying the balances out to the partners, and issuing certificates, all on PEaX.
Related trust services
Around the fund
Partnerships
The GP/LP transaction account: raise, invest, distribute.
