🇮🇱 Israel
IL / ISR #148
Nomad Score
58.0
Cities
19
Region
Mediterranean,
Middle East,
Levant,
Silk Road,
Fertile Crescent,
Tech Startup Ecosystems,
Coworking Hotspots,
Asia,
Asia,
Western Asia
Currency
ILS
🇮🇱 ISRAEL TAX PROFILE
Data year: 2025
Tax System
Worldwide
Worldwide income taxation for residents. New immigrants and returning residents (10+ years abroad) get 10-year exemption on foreign income and capital gains.
Worldwide income taxation for residents. New immigrants and returning residents (10+ years abroad) get 10-year exemption on foreign income and capital gains.
Top PIT Rate
50.0%
Corporate Tax Rate
23.0%
VAT
18.0%
Capital Gains Tax
25.0%
Real capital gains: 25% (30% for substantial shareholders). Real estate appreciation tax varies. Listed securities: 25%. 3% surtax on annual income above ILS 721,560 applies to capital gains too.
Real capital gains: 25% (30% for substantial shareholders). Real estate appreciation tax varies. Listed securities: 25%. 3% surtax on annual income above ILS 721,560 applies to capital gains too.
Social Security (Employee)
7.6%
Social Security (Employer)
7.6%
Dividend Withholding
25.0%
Interest Withholding
25.0%
Royalty Withholding
25.0%
Treaty Count
58
Non-Dom Regime
📊 INCOME TAX BRACKETS
Personal income
| Bracket Min | Bracket Max | Rate % | USD Equivalent |
|---|---|---|---|
| ILS 0 | ILS 84,120 | 10.0% | -- |
| ILS 84,120 | ILS 120,720 | 14.0% | -- |
| ILS 120,720 | ILS 193,800 | 20.0% | -- |
| ILS 193,800 | ILS 269,280 | 31.0% | -- |
| ILS 269,280 | ILS 560,280 | 35.0% | -- |
| ILS 560,280 | ILS 721,560 | 47.0% | -- |
| ILS 721,560 | and above | 50.0% | -- |
🏠 TAX RESIDENCY
Days Threshold
183 days
Residency Rules
Resident if center of life is in Israel (considering family, economic, and social ties). Presumed resident if present 183+ days in a tax year, or 30+ days in current year and total of 425+ days in current and two preceding years.
Exit Tax
Yes
Deemed disposal of assets at market value upon ceasing Israeli residency.
Deemed disposal of assets at market value upon ceasing Israeli residency.
CFC Rules
Yes
Non-Dom Regime: New immigrants (Oleh Chadash) and returning residents (10+ years abroad) get 10-year exemption from reporting and taxation on foreign-sourced income, capital gains, and foreign assets.
📅 FILING INFORMATION
Fiscal Year
01-01 – 12-31
Filing Deadline
April 30
📚 SOURCES
-
PwC Worldwide Tax Summaries - Israel
(accessed Mar 23, 2026)
PIT, CIT, VAT, withholding rates, surtax
🔗 RELATED
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