The 2026 benefit has a hard edge: it applies to olim and veteran returning residents who become residents between November 5, 2025 and December 31, 2026. Land inside the window and your Israeli earned income is exempt up to ₪1M/year. Land after it, and — unless the Knesset extends the program — you're under the ordinary rules. This page answers the two questions that follow.
If you're deliberating aliyah right now, the deadline changes the math. Arriving by December 31, 2026 means the exemption applies to your program years; arriving January 2027 means — as the law stands — it doesn't. For a salaried oleh, that's not a rounding error:
| Arrivals through 2025 | Arrivals Nov 5, 2025 – Dec 31, 2026 | Arrivals 2027+ (as enacted) | |
|---|---|---|---|
| Foreign-source income | Exempt 10 years | Exempt 10 years | Exempt 10 years |
| Israeli earned income | Taxed normally (+ oleh credit points) | Exempt up to ₪1M/yr for the program years | Taxed normally (+ oleh credit points) |
| Reporting foreign assets | Exempt from reporting, 10 years | Full reporting applies (from 2026 arrivals) | Full reporting applies |
Note the quiet asymmetry in the last row: arrivals before 2026 kept the old reporting exemption; everyone after files full disclosure of foreign holdings even though the foreign income itself stays tax-exempt. That's the one respect in which earlier arrivals got something later ones didn't — and for people living mainly on foreign income, it can matter more than the headline benefit. Background on both regimes: the law, explained.
Residency start is a facts-and-circumstances test (center of life), not just a landing date — near the deadline, that nuance is exactly what a professional consultation is for. Not tax advice.