Purchase Tax in Israel for Foreign Buyers
Foreign buyers should calculate purchase tax before signing and should not assume that owning only one home worldwide automatically produces the Israeli-resident sole-home scale.
Known limits: This page cannot determine tax residence, family-unit ownership, treaty position or special relief eligibility.
Update policy: Material rule changes and corrections are logged on the version-history page.
Planning scale used by the calculator
| Price slice | Additional-home / nonresident planning rate |
|---|---|
| Up to ₪6,055,070 | 8% |
| Above ₪6,055,070 | 10% |
This is a progressive calculation: the 10% rate applies only to the slice above the threshold.
When another scale may apply
Israeli-resident sole-home treatment or new-oleh relief can apply only when the statutory definitions and conditions are met. Obtain the classification before agreeing to a nonrefundable payment schedule.
Reporting and registration
The Tax Authority states that a real-estate transaction declaration is generally due within 30 days. Tax clearance and the relevant registration documents are part of completing the transfer of rights.
Official sources: Tax Authority purchase-tax simulator · real-estate transaction declaration · Land Registry transfer service.
Frequently asked questions
What purchase-tax rate does a foreign buyer pay in Israel?
A nonresident should not assume the Israeli-resident sole-home brackets. The calculator uses the additional-home/nonresident planning scale of 8% up to the modeled threshold and 10% above it, subject to legal confirmation.
Can a new oleh who still lives abroad receive oleh relief?
The oleh relief has its own definition, use requirement and eligibility period. Status must be confirmed under Regulation 12 and the current rules.
When must a real-estate transaction be reported?
The Tax Authority states that the real-estate declaration is generally due within 30 days of the transaction date.
Does purchase tax include legal or registration fees?
No. Purchase tax is separate from legal, brokerage, appraisal, registration, mortgage and setup costs.