INCOME TAX (Tables)

12 Months Ended

Dec. 31, 2024

Details	2024			2023			2022
Current tax expense:
Local	$	17,431		$	-		$	-
Foreign		5,579			13,374			13,167
Deferred tax expense (benefit):
Local		(17,141	)		62,748			21,550
Foreign		4,336			(10,810	)		(9,215	)
Income tax expense, net	$	10,205		$	65,312		$	25,502

Details	2024			2023			2022
Profit (loss) before taxes:
Local	$	242,879		$	588,453		$	295,438
Foreign		(25,452	)		(3,611	)		(3,465	)
Total profit (loss) before taxes	$	217,427		$	584,842		$	291,973

Details	2024			2023
Deferred tax asset and liability - long-term:
Deferred tax assets:
Net operating loss carryforward	$	7,397		$	9,889
Employees compensation		9,675			7,853
Accruals and allowances		11,355			10,997
Research and development credit		24,689			24,677
Research and development, including Section 174 under U.S. Internal Revenue Code		27,732			19,582
Lease liabilities		9,617			12,199
Others		652			2,122
		91,117			87,319
Valuation allowance, see Note 18F below		(31,613	)		(20,238	)
Deferred tax assets	$	59,504		$	67,081
Deferred tax liabilities - long-term:
Depreciation and amortization	$	(64,859	)	$	(72,254	)
ROU - assets under operating leases		(1,131	)		(1,609	)
Others		(801	)		(838	)
Deferred tax liabilities	$	(66,791	)	$	(74,701	)

Presented in long term deferred tax assets	$	1,768		$	1,810
Presented in long term deferred tax liabilities	$	(9,055	)	$	(9,430	)

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

Details	Unrecognized tax benefits
Balance as of January 1, 2024	$	9,217
Additions for tax positions of current year		727
Reduction due to statute of limitations of prior years		(1,000	)
Balance as of December 31, 2024	$	8,944

Details	Unrecognized tax benefits
Balance as of January 1, 2023	$	8,490
Additions for tax positions of current year		727
Reduction due to statute of limitations of prior years		-
Balance as of December 31, 2023	$	9,217

Details	Unrecognized tax benefits
Balance as of January 1, 2022	$	7,763
Additions for tax positions of current year		727
Reduction due to statute of limitations of prior years		-
Balance as of December 31, 2022	$	8,490

The reconciliation of the Israeli statutory income tax rate to the effective tax rate for the years ended December 31, 2024, 2023 and 2022:

Details	2024			2023			2022
Tax expense computed at statutory rates, see (*) below	$	50,008		$	134,514		$	67,154
Effect of different tax rates in different jurisdictions and Preferred Enterprise Benefit		(36,588	)		(89,487	)		(46,012	)
Change in valuation allowance		11,375			2,697			5,911
Permanent differences and other, net		(14,590	)		17,588			(1,551	)
Income tax expense	$	10,205		$	65,312		$	25,502

(*) The tax expense was computed based on the Israeli statutory corporate income tax rate of 23%.