The 2026 rates
Foreign resident / non-resident (and residents buying an additional home)
| Portion of price | Rate |
|---|---|
| Up to ₪6,055,070 | 8% — from the first shekel |
| Above ₪6,055,070 | 10% |
Israeli resident buying a single (sole) home — for comparison
| Portion of price | Rate |
|---|---|
| Up to ₪1,978,745 | 0% |
| ₪1,978,745 – ₪2,347,040 | 3.5% |
| ₪2,347,040 – ₪6,055,070 | 5% |
| ₪6,055,070 – ₪20,183,565 | 8% |
| Above ₪20,183,565 | 10% |
Brackets are normally re-indexed each year, but that mechanism is currently switched off: indexation of tax-law amounts is frozen for 2025–2027, and the purchase-tax brackets are named in the freeze. A foreign national who is not an Israeli tax resident is generally taxed on the higher ("additional property") schedule — 8% from the first shekel — even if they hold Israeli citizenship. Reduced rates may apply to a new immigrant (Oleh); confirm eligibility. Sources: Israel Tax Authority purchase-tax brackets 2026; Land Taxation Law.
Why the 2026 brackets are the 2024 brackets
Israeli tax amounts are re-indexed to inflation each year — normally. That mechanism is currently switched off. On 16 December 2024 the Knesset Finance Committee approved a freeze, announced jointly by the Israel Tax Authority and the Ministry of Finance: for 2025, 2026 and 2027 no adjustment is made for the index changes of 2024 to 2026. The purchase-tax brackets are named in that announcement, alongside the exemption ceiling on rental income and the mas shevach exemption ceiling on the sale of a single apartment.
So the figures above are frozen rather than stale — and the freeze bites twice. The announcement states that when indexation resumes in 2028, the restored amounts will not include the index change for 2024 to 2026. The effect is permanent, not deferred. For a buyer that means the ₪6,055,070 threshold which decides where a foreign buyer moves from 8% to 10% stays exactly where it is, while prices do not.
What you'd actually pay — worked examples
These are the calculator's own figures at common purchase prices, using the 2026 brackets above. A non-resident pays 8% from the first shekel, so the effective rate stays flat at 8% until the price passes ₪6,055,070.
| Purchase price | Non-resident pays | Effective rate | Israeli resident, sole home | Foreign-buyer premium |
|---|---|---|---|---|
| ₪1,500,000 | ₪120,000 | 8.00% | ₪0 | +₪120,000 |
| ₪2,000,000 | ₪160,000 | 8.00% | ₪744 | +₪159,256 |
| ₪2,850,000 | ₪228,000 | 8.00% | ₪38,038 | +₪189,962 |
| ₪3,500,000 | ₪280,000 | 8.00% | ₪70,538 | +₪209,462 |
| ₪5,000,000 | ₪400,000 | 8.00% | ₪145,538 | +₪254,462 |
| ₪7,500,000 | ₪628,899 | 8.39% | ₪313,886 | +₪315,013 |
Rounded to the nearest shekel. The "premium" column is the difference between the two — what the same apartment costs you in purchase tax purely because you are not an Israeli tax resident buying a sole home. For any other price, use the calculator above. Reduced Oleh rates are not reflected here.
What foreign buyers should know
- No 0% tier. An Israeli buying a first home pays 0% on the first ~₪1.98M. A non-resident pays 8% from shekel one — that's the "foreign-buyer premium" shown in the calculator.
- Citizenship doesn't help by itself. What matters is Israeli tax residency, not passport. A citizen living abroad is generally taxed as a non-resident buyer.
- Deadline. Purchase tax is generally declared and paid within 60 days of the transaction date.
- Oleh (new immigrant) rates. If you make Aliyah you may qualify for a reduced schedule — worth checking before you buy, as timing can matter.
Planning a purchase — with a licensed professional
This is an independent information resource and free calculator — not a law or tax firm, and it does not represent buyers. Purchase-tax filing, Oleh eligibility, and structuring should be handled by a licensed Israeli professional (lawyer / CPA / licensed tax representative). Tell us about your purchase and we'll point you in the right direction.
Get pointed to a licensed professionalFrequently asked questions
How much purchase tax does a foreigner pay in Israel?
A non-resident (or a resident buying an additional home) pays 8% on the price up to ₪6,055,070 and 10% on any amount above that, from the first shekel — there is no 0% tier. On a ₪2,800,000 apartment, for example, that is ₪224,000 (8%). Reduced rates may apply to new immigrants.
Do I pay more purchase tax as a foreigner than an Israeli?
Yes, substantially. An Israeli buying a sole home pays 0% on the first ~₪1.98M and lower rates up to ₪6M; a non-resident pays 8% from the first shekel. The calculator shows the exact difference for your price.
Does Israeli citizenship reduce my purchase tax?
Not by itself. Purchase-tax rates depend on Israeli tax residency, not citizenship. A citizen who lives abroad and is not an Israeli tax resident is generally taxed on the higher, non-resident schedule.
When is purchase tax due?
Purchase tax is generally declared and paid within 60 days of the transaction date. Late payment can add interest and indexation. A lawyer handling the conveyance usually files it as part of the transaction.
How much purchase tax on a ₪2,850,000 apartment in Israel?
As a non-resident (or an Israeli buying an additional home): ₪228,000 — 8% of the price, since there is no 0% tier. An Israeli resident buying a sole home would pay ₪38,038 on the same apartment, so the foreign-buyer premium is ₪189,962. Reduced rates may apply to a new immigrant (Oleh).
Is this calculator official tax advice?
No. It is a general estimate for comparison, based on the 2026 brackets, and is not tax advice or a filing. It does not cover every situation (Oleh rates, mixed-use property, group deals, reliefs). Confirm your exact liability with a licensed Israeli professional.
Where these figures come from
The brackets on this page were checked against the primary Israeli sources below.
- Calculating purchase tax — the brackets for an additional home and for a foreign resident (Kol Zchut)
- Israel Tax Authority & Ministry of Finance — joint announcement of 16 December 2024: indexation of tax-law amounts frozen for 2025–2027, and an additional 2% surtax on non-labour income (Hebrew)
- Real Estate Taxation Law (Appreciation and Acquisition) — full text
Sources are in Hebrew — they are the primary Israeli references. Figures were checked against them on 28 July 2026. Rules and thresholds change; verify before acting.
Related guides
Buying is one side of it. These cover the rest.
- Capital gains tax when you sell (Mas Shevach) — the 25% rate, the linear split, and the 30-day deadline
- Rental income tax for non-residents — what you owe once the property is let
- New olim reporting from 2026 — the filing obligation for new immigrants