December 3, 2017 | Israel may have to adjust its corporate tax rate, Finance Minister Moshe Kahlon told a local politics show on Saturday in response to a tax cut approved by the U.S. Senate. The corporate tax rate is already being reduced from 24 to 23 percent, but a lower rate in the U.S. for Israeli companies could persuade those companies to move there permanently, according to a report in Reuters. Kahlon told the Israeli politics program that there are many implications for companies who move to the U.S. and so Israel has to make adjustments. Many Israeli high-tech companies have operations in the United States but research and development centers in Israel. U.S. President Donald Trump says the U.S. tax overhaul could cut the corporate tax rate from 35 to 20 percent, once both the Senate and the House of Representatives match their respective versions of the bill. Israel’s technology industry makes up about 14 percent of the country’s economic output and 10 percent of its workforce.