Company: EVGN
Filing Date: 2025-03-27
Form Type: 20-F
Source: 0001178913-25-001092
Chunk: 245

Company: Evogene Ltd.
Filing Date: 2025-03-27
Form: 20-F
Item: Item 9
Chunk 245
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 in 2024) if generated by a company, or at the rate of 25%, if
generated by an individual, or 30%, if generated by an individual who is a “substantial shareholder” (as defined under the
Israeli Tax Ordinance), at the time of sale or at any time during the preceding 12-month period (or if the shareholder claims a deduction
for interest and linkage differences expenses in connection with the purchase and holding of such shares). A “substantial shareholder”
is generally a person who alone or together with such person’s relative or another person who collaborates with such person on a
permanent basis based on a contract, holds, directly or indirectly, at least 10% of any of the “means of control” of the corporation.
“ Means of control” generally include, among others, the right to vote, receive profits, nominate a director or an executive
officer, receive assets upon liquidation, or order someone who holds any of the aforesaid rights how to act, regardless of the source
of such right. Individual and corporate shareholders dealing in securities in Israel are taxed at the tax rates applicable to business
income (a corporate tax rate for a corporation (23% in 2024) and a marginal tax rate of up to 47% for an individual in 2024 (excluding
excess tax as discussed below)) unless contrary provisions in a relevant tax treaty apply (subject to the receipt in advance of a valid
certificate from the Israel Tax Authority allowing for a reduced tax rate).

103

Additionally, a sale of shares by a non-Israeli resident may be
exempt from Israeli capital gains tax under the provisions of an applicable tax treaty (subject to the receipt in advance of a valid certificate
from the Israel Tax Authority allowing for an exemption). For example, under the United States-Israel Tax Treaty, the disposition of shares
by a shareholder who is a United States resident (for purposes of the United States-Israel Tax Treaty) holding the shares as a capital
asset and is entitled to claim the benefits afforded to such person by the treaty, is generally exempt from Israeli capital gains
tax unless, among other things, (i) the capital gain arising from the disposition can be attributed to a permanent establishment of the
shareholder which is maintained in Israel; (ii) the shareholder holds, directly or indirectly, shares representing 10% or more of
the voting capital during any part of the 12-month period preceding such sale, exchange or disposition,