On March 17, 2024, the Privacy Protection Authority (PPA) published its opinion on the collection of ID card numbers and photocopying of ID cards following a public consultation on June 14, 2023. More specifically, the PPA highlighted the following points:

• ID numbers and photos must be treated as protected information according to the Privacy Protection Law, 5741-1981 (PPL);

• avoid demanding a photocopy of the entire ID card, except in exceptional cases where all the information appearing on it is required for the provision of the service; 
• in exceptional cases where a photocopy of the ID card is required, it is sufficient to take a photo of the front part of the card, without the appendix and the back, in order to reduce the collection of sensitive information and the violation of privacy, allow the customer to hide or blackout details from the ID card when delivering the photocopy, if these are not required;
• in the appropriate cases, where it is necessary to verify a person's identity for providing a service or receiving delivery, it is possible to use other means of identity verification, which compromise less privacy, such as verification using a code sent to the customer ahead of time, or presenting the identity card without taking a photo of it and without saving it;
• when the business intends to ask the customer to provide a photocopy of the ID card in order to receive a service or product, they must indicate this to the customer before completing the purchase procedure, even when the demand is carried out by the courier company acting on behalf of the business. In addition, the business must specify to the customer whether they have a legal obligation to provide the information or whether the delivery of the information depends on their desire and consent, the purpose for which the information is requested, to whom the information will be provided and the purposes of the delivery; and 
• when the ID number is requested for identifying the customer in a specific transaction, it must not be used for other purposes.

You can read the press release here and the opinion here, both only available in Hebrew.