Medtronic Ventor Pays 450 Million Shekels to State Treasury in Tax Dispute
Medtronic Ventor paid 450 million shekels to the Israeli Tax Authority following a tax dispute over intellectual property transfers, with 360 million remaining in dispute.
Medtronic Ventor, the fully owned Israeli subsidiary of the American medical device giant Medtronic, paid approximately 450 million shekels to the state treasury in July and August. This payment is part of an 810 million shekel demand by the Tax Authority following a 2023 District Court ruling that resulted in company asset seizures.
This information emerged during a Supreme Court hearing on an appeal filed by the company against the ruling, which determined that it transferred its intellectual property abroad without appropriate tax payments. Following these payments, a dispute remains between the parties over an additional sum of about 360 million shekels, including linkage, interest, and fines demanded by the Tax Authority.
Established in 2004, Medtronic Ventor's flagship product is an aortic heart valve implantable via the chest wall without open-heart surgery. In 2009, global Medtronic acquired Ventor for 325 million dollars, after which Ventor operated as an Israeli R&D center before closing in April 2012, while continuing to generate royalty income of at least 360 million shekels.
