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OrdinanceTax Law

Customs Ordinance [New Version]

פקודת המכס [נוסח חדש]

Published: 1957-07-29Consolidated Hebrew text as of 2024-07-01 · Last amended 2026-03-31✓ Amendment status checked against the Knesset legislation record on 2026-09-28
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Unofficial English translation — for reference only. It may contain errors or omissions and cannot be relied on as a legal text. Only the Hebrew text published in Reshumot is legally binding.More

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Despite these checks, it may contain errors, omissions, or imprecise renderings of legal terminology and cross-references, and it may not yet reflect the latest amendments. It cannot be relied upon as a legal text.

The Hebrew text as published in Reshumot (ספר החוקים) and on the Knesset website is the sole authoritative and legally binding version. In any discrepancy, the Hebrew text prevails.

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Chapter XIII: Forfeitures and Penalties

Section A: Forfeitures

Forfeiture of Vessels§
203.
(a)The following vessels shall be forfeited to the State where their registered tonnage does not exceed 250 tons:
(1)a vessel that was used in smuggling, or that was knowingly used to unlawfully carry smuggled or forfeited goods;
(2)a vessel found in the coastal waters of Israel that failed to heave to so as to allow boarding after being lawfully required to do so;
(3)a vessel remaining in the coastal waters of Israel that does not depart immediately after being required to do so by the commander or person in charge of a vessel in State service or by a customs officer;
(4)a vessel from which goods were thrown overboard, discharged or destroyed with intent to prevent their seizure by the customs authority;
(5)a vessel found within the limits of a port laden with cargo and subsequently found to have no cargo, or to have ballast only, or to have short cargo, and the master is unable to give a lawful explanation for the change;
(6)a vessel found in the coastal waters of Israel that has fraudulent partitions, fraudulent bows, fraudulent sides, fraudulent bottoms or secret or concealed places fitted for the purpose of concealing goods, or that has a hole, pipe or any other device fitted for the purpose of sinking goods.
(b)Where a vessel whose registered tonnage exceeds 250 tons would have been forfeited had its registered tonnage been 250 tons or less, the Director may impose on the owner of the vessel a fine not exceeding ten times the fine referred to in section 61(a)(4) of the Penal Law, 5737-1977, or three times the amount of import taxes evaded or to be evaded, whichever is the greater, and it shall be permissible to detain the vessel until the fine is paid or until security for its payment is given.
(c)A conveyance that is not a vessel and that was used in smuggling, or was knowingly used to unlawfully carry smuggled or forfeited goods, shall be forfeited to the State.
Demand for Fine, Payment thereof and Appeal thereon§
203a.
(a)A fine shall be paid, upon a written demand by the Director, within thirty days of the date of receipt of the demand; the demand shall be issued after the person to whom it is addressed has been notified of the intention to issue it and has been given an opportunity to state his arguments.
(b)If the fine is not paid on time, shekel interest and late payment charges shall be added thereto until payment, and the provisions of the Interest and Linkage Law shall apply, with the necessary modifications.
(c)
(1)an appeal against a demand for payment of a fine may be lodged before a Magistrate's Court within thirty days of the date on which the imposition of the fine was notified;
(2)the lodging of an appeal shall not operate to stay payment of the fine, unless the court directs otherwise;
(3)if the appeal is allowed, the amount paid shall be refunded together with shekel interest from the date of payment until the date of refund, and the provisions of the Interest and Linkage Law shall apply in respect of such interest, with the necessary modifications;
(4)an appeal against a decision of the Magistrate's Court on the appeal may be lodged with leave before the District Court, which shall hear the appeal before a single judge.
Forfeiture of Goods§
204.

The following goods shall be forfeited to the State:

(1)smuggled goods;
(2)goods imported in breach of a prohibition, restriction or regulation; however, goods whose importation has been prohibited or regulated by Order and which were dispatched for importation into Israel before the sender became aware of the Order and before a reasonable time had elapsed for the knowledge to reach the port of dispatch shall not be forfeited but shall be re-exported or dealt with in such manner as the Director may approve, all as the Director sees fit;
(3)goods imported in a vessel or conveyance in which the importation of goods is prohibited;
(4)dutiable goods found in a vessel or conveyance unlawfully remaining in any of the places;
(5)goods found in a vessel or conveyance after arrival at a port or other place that were not itemised, or not mentioned, in an inward manifest or declaration and are not the personal baggage of the crew or of passengers, and no explanation satisfactory to the collector of customs has been given in respect thereof;
(6)goods whose stower was unlawfully discharged;
(7)goods that were moved, altered or interfered with while subject to the supervision of the customs authority, unless done with authority and in accordance with this Ordinance;
(8)goods that are required under the provisions of this Ordinance to be removed or dealt with in a particular manner and this has not been done;
(9)goods in respect of which an import declaration, export declaration, invoice, declaration, answer, statement, representation or certificate that is false or wilfully misleading in a material particular has been delivered, made or submitted;
(10)cargo of a vessel loitering near the coast and not proceeding immediately after being required to do so by a commander or person in charge of a vessel in the service of the State or by a customs officer;
(11)goods that are not the personal baggage of passengers and are found on a ship after departure, and were not itemised or mentioned in the outward manifest and no explanation satisfactory to the collector of customs has been given in respect thereof;
(12)goods whose exportation is prohibited that have been loaded onto a vessel or conveyance, or brought to a quay or other place, with intent to export them, and also goods whose exportation has been restricted or regulated and which have been loaded onto a vessel or conveyance or brought to a quay or other place in breach of a restriction or regulation, with intent to export them;
(13)dutiable goods concealed in any manner whatsoever in order to evade payment of customs duty;
(14)packing in which goods not itemised in an import declaration or export declaration have been concealed or which has been packed in a manner liable to mislead a customs officer;
(15)dutiable goods found in the possession or personal baggage of a person who departed from or disembarked from a vessel or conveyance, or who entered Israel by another means, and who stated that he had no dutiable goods in his possession whatsoever, or who did not disclose, in reply to questions put by a customs officer, that all those goods were in his possession or personal baggage;
(16)goods offered for sale as prohibited or smuggled goods;
(17)goods that were warehoused and subsequently loaded or entered for export on a vessel whose registered tonnage is less than sixty tons or that were entered for shipment in such a vessel;

in this section, "dutiable goods" – includes goods on which other import taxes are payable.

Valuation of Seized Property§
205.

Where proceedings are instituted for the condemnation of a vessel, conveyance or goods seized under customs law, a valuation of the seized vessel, conveyance or goods drawn up by a customs officer, or by another person authorised by the Government for that purpose, shall be submitted at the same time; the valuation shall be confirmed on oath and shall be final for the purpose of determining the value of the vessel, conveyance or goods for jurisdictional purposes.

Forfeited Packing and Goods§
206.
(a)The forfeiture of goods extends also to the packing containing the goods, and the forfeiture of packing under section 205 extends also to all the goods therein.
(b)The forfeiture of a conveyance extends also to all goods of the same owner carried in that conveyance.

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Section B: Penalties

Assembly for the Purpose of Smuggling§
207.

Two or more persons who have assembled to smuggle goods or to prevent the seizure of smuggled goods or to rescue them after seizure are liable to imprisonment for three years.

Collusive Seizure, Bribing a Customs Officer, Rescuing or Destroying Goods and Preventing Seizure§
208.

The following persons are liable to imprisonment for three years or a fine of 500 pounds or both penalties together:

(1)a customs officer or police officer who collusively seizes a vessel, conveyance or goods liable to forfeiture or delivers them or makes arrangements to deliver them or to avoid seizing them, or who conspires with another person or tacitly agrees with him to import or export goods with the aim of seizing a vessel, conveyance or goods and receiving a reward for that seizure, or who is found to be involved in the smuggling of goods with such aim;
(2)a person who gives, or causes to be given, a bribe, reward or consideration to a customs officer, as well as a person who offers or promises to give a customs officer any of the foregoing or to cause it to be given, or who conspires with him, all with intent to induce him in any manner to neglect his duty, as well as a person who attempts — by threats, demands or promises — to influence a customs officer in the performance of his duty;
(3)a person who rescues goods that have been seized, and a person who pours out, breaks or destroys goods, and a person who destroys documents relating to them, whether done before or after the seizure of the goods, with the aim of preventing their seizure or securing or preventing proof of an offence.
Firing at a Customs Authority Vessel, etc.§
209.

The following persons are liable to imprisonment for fifteen years:

(1)a person who fires at a vessel in the service of the customs authority;
(2)a person who fires at a customs officer in the performance of his duty;
(3)a person who wounds or maims a customs officer in the performance of his duty.
Removal or Destruction of Dutiable Goods§
210.
(a)The following persons are liable to imprisonment for two years or a fine of 500 pounds:
(1)a person who removes dutiable goods from a warehouse without the authority of the competent customs officer or without payment of customs duty or without security for its payment;
(2)a person who wilfully destroys goods that have been duly warehoused;
(3)a person who assaults a customs officer, or another person duly employed in the prevention of smuggling, or who resists or obstructs them by the use of force or violence in the performance of their duty.
(b)Where a customs officer has been convicted of an offence under subsection (a)(2), no customs duty shall be payable on those goods and the Government may order the payment of compensation out of State revenues.
Smuggling§
211.
(a)The following persons are liable to imprisonment for three years or a fine of twice the amount referred to in section 61(a)(4) of the Penal Law, 5737-1977, and, in the case of possession of smuggled goods, also to payment of three times the amount of the import taxes applicable to those goods:
(1)a person who smuggles goods;
(2)a person who holds smuggled goods or goods whose importation is prohibited and who has not proved that he has lawful justification to hold them;
(3)a person in whose possession, custody or control there are goods whose exportation is at that time prohibited, restricted or regulated and who intends to smuggle them or knows that there is an intention to smuggle them.
(a1)Where an offence under subsection (a) has been committed in aggravating circumstances, the person is liable to imprisonment for 5 years or a fine of four times the amount referred to in section 61(a)(4) of the Penal Law, 5737-1977, and in the case of possession of smuggled goods also to payment of three times the amount of the import taxes applicable to those goods.
(b)The master or owner of a vessel or conveyance who uses, or knowingly permits to be used, his vessel or conveyance for the smuggling of goods or for the unlawful carriage of smuggled or forfeited goods is liable to the penalties prescribed in subsection (a).
(c)Where the offence referred to in subsection (a)(3) is committed during a state of war in which the State of Israel is involved, the penalty may be increased to imprisonment for two years or a fine of 500 pounds.
Other Customs Offences§
212.
(a)The following persons are liable to imprisonment for two years or a fine of 500 pounds or both penalties together:
(1)a person who evades payment of customs duty that is payable;
(2)a person who obtains a drawback to which he is not lawfully entitled;
(3)a person who prepares, passes or presents a document that purports to be a genuine invoice but is not;
(4)a person who submits a false or incorrect import declaration or export declaration in a material particular;
(5)a person who brings into Israel a form or other paper that purports to be a form on which it is possible to write and use it as an invoice for goods coming from foreign countries, or who holds such a form or paper and has not proved that he has lawful justification to hold it;
(6)a person who, in a declaration or document submitted to a customs officer, makes a statement that is incorrect or inaccurate in a material particular, or who submits or delivers to a customs officer a declaration or document containing such a statement;
(7)a person who disposes of goods that were exempted from customs duty because they were imported for the Israel Defence Forces, or for an institution or person entitled to import such goods free of customs duty, and who transfers them to any company, firm or person not entitled to import those goods free of customs duty, without having first notified the Director of the particulars of that transfer;
(8)a person who fraudulently alters a certificate or document or who forges a seal, signature, initials or other marks of a customs officer or used by a customs officer, for the authentication of a document or instrument or for the securing of goods or for any other purpose in the conduct of matters relating to the customs authority;
(9)a person who misleads a customs officer in a material particular likely to prejudice the performance of his duty;
(10)a person who moves, alters or interferes with goods subject to the supervision of the customs authority, without authority;
(11)a person who refuses or fails to answer questions, or who refuses or fails to produce documents;
(12)a person who sells goods, or offers them for sale, or holds them for sale or for trade on a ship in a port, where the goods were not entered in the manifest in accordance with section 53;
(13)a person who sells goods, or offers them for sale, as smuggled goods or as goods whose importation is prohibited.
(b)Nothing in this section shall affect the rights of a person acting under a licence granted to him pursuant to section 200.
(c)A person who has not reported an opinion as defined in section 231d(a), contrary to the provisions of that section, is liable to the fine prescribed in section 61(a)(2) of the Penal Law, 5737-1977.
(d)A person who has not given notice of a shelf scheme as defined in section 231d(a), contrary to the provisions of section 231d(d), is liable to imprisonment for one year or the fine prescribed in section 61(a)(2) of the Penal Law, 5737-1977.
(e)A person who has not reported a reportable position as defined in section 231e(a), contrary to the provisions of that section, is liable to the fine prescribed in section 61(a)(2) of the Penal Law, 5737-1977.
Recovery of Fine§
213.

Any fine imposed by a court in a customs prosecution, or imposed by the Director pursuant to the provisions of section 231, shall be treated as a fine imposed in criminal proceedings and shall be recoverable by the attachment and sale of real property or movable property.

General Penalty§
214.

Any person who contravenes any provision of this Ordinance for which no other penalty is prescribed in the Ordinance is liable to imprisonment for six months or a fine of 100 pounds or both penalties together.

Special Provisions regarding Goods whose Importation is Prohibited§
215.
(a)A person who does any of the acts listed below in relation to goods whose importation is prohibited, restricted or regulated and to which this section applies, is guilty of an offence under this Ordinance:
(1)a person who holds such goods in a ship and has not proved that he has reasonable justification for doing so;
(2)a person who smuggles, or attempts to smuggle, such goods into Israel;
(3)a person who holds such goods after they have been smuggled into Israel and has not proved that he has lawful justification for doing so;
(4)a person who aids, abets, counsels or procures the smuggling of such goods into Israel, or who knowingly takes part in such smuggling;
(5)a person who fails to disclose to a customs officer, upon his demand, information which he has, or is able to obtain, regarding the smuggling of such goods into Israel or regarding an intention to smuggle them;
(6)a person who publishes, sells, offers for sale, distributes or copies a publication whose importation has been prohibited under section 40(b) or an extract from such a publication.
(b)This section shall apply to any goods whose importation is prohibited, restricted or regulated and in respect of which the Government has declared by Order that the section shall apply.
(c)Where an offence under this section is committed during a state of war in which the State of Israel is involved, the penalty shall be increased to imprisonment for two years or a fine of 500 pounds.
Duty to Deliver Prohibited Publication to the Police§
216.
(a)A publication whose importation has been prohibited under section 40(b), or an extract from such a publication, that has been sent to a person without his knowledge, or without his being a party to the knowledge, or in response to an order placed by him before the prohibition on the importation of the publication came into force, shall be delivered by that person to the officer in charge of the nearest police station, immediately, if he was aware of its content, or immediately after he became aware of its content, and if the publication or extract came into his possession before an Order prohibiting its importation was made, he shall deliver it as aforesaid immediately after such an Order comes into force; if the person has not done so, he is guilty of an offence under this Ordinance.
(b)A person who has complied with the provisions of subsection (a) or who has been convicted of an offence thereunder shall not be liable in respect of the importation or possession of the publication or extract.
Joint and Several Liability to Penalty§
217.

Where a penalty has been imposed on a number of persons who are jointly and severally liable to the penalty, each of them shall be liable to the full penalty.

Aiders and Abettors§
218.

A person who aids, abets, counsels or procures the commission of an offence under this Ordinance, or who is involved therein by act or omission, in any manner whatsoever, whether directly or indirectly, shall be treated as if he committed that offence and shall be liable to punishment accordingly.

Attempt§
219.

An attempt to commit an offence under this Ordinance shall be punishable as if the offence had been committed.

Penalty of Three Times the Value of the Goods§
220.

Where the penalty prescribed in this Ordinance is less than three times the value of the goods in respect of which an offence has been committed together with three times the customs duty applicable thereto, the maximum fine shall be three times the value of the goods together with three times the customs duty applicable thereto.

Penalty in Addition to Forfeiture§
221.

All penalties are in addition to forfeiture.

Value of Goods for the Purpose of Penalty§
222.

In any customs prosecution or customs proceedings where the basis for calculating the penalty is the value of the goods, the value shall be the price of the best goods of the same kind on which customs duty has been paid, as they would have been sold in Tel Aviv-Jaffa at the time of or shortly before the commission of the offence, even if the penalty has been incurred at another place in Israel.

Person with a Prior Conviction may be Imprisoned§
223.

Where a person has been convicted of an offence under this Ordinance that carries a monetary penalty but not imprisonment for two years or more, and it is found that that person has been convicted under any of the customs laws within the five years preceding the conviction, the court may sentence him, either in lieu of a monetary penalty or in addition thereto, to imprisonment for two years, with or without the right to be discharged from imprisonment upon payment of the monetary penalty.

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