Israel 2026 Tax Calculator — Repatriate / Returning

⚠️ Disclaimer. This calculator is for educational and informational purposes only and reflects simplified assumptions for the 2026 tax year. It does not constitute legal or tax advice, does not establish a client–advisor relationship, and must not be relied upon as a substitute for professional guidance. Results are provided "as is" without warranties of accuracy or completeness and may change if laws or inputs change. We do not collect or store any personal data entered into this tool. Author is not a licensed tax consultant in Israel. Before making decisions or filings, consult a certified tax advisor or the Israel Tax Authority.

1) Profile & Residency

Status

Filing as

Affects base credit‑points and child credits for ages 6–17.

Months resident in 2026 (0–12)

Count months where you're resident on the last day of the month (prorates monthly credits).

Aliyah / Return date (DD.MM.YYYY)

Type digits only; dots auto‑insert (e.g., 15052024 → 15.05.2024). Used for oleh credits & foreign‑income exemptions.

Years since arrival by 31‑12‑20260

2) Israeli Income

Salary Self‑employment

Israeli salary (₪)

/year /month

Gross salary before tax. Toggle monthly/annual.

Israeli capital income (annual, ₪/year)

Dividends, interest, capital gains from Israeli sources. Taxed at flat 25% (non‑controlling).

Israeli residential rental income (annual, ₪/year)

Flat 10% tax track (no expense deductions on this track). Leave 0 if not applicable.

3) Foreign Income

All amounts in ₪/year. Convert foreign currency to NIS at the average annual exchange rate.

Foreign earned income (₪/year)

Work physically performed abroad. Remote work from Israel = Israeli‑source.

Foreign passive income (₪/year)

Interest, dividends, rent, royalties from assets abroad.

Foreign capital gains (₪/year)

Securities/real estate abroad.

Were gains from assets acquired while abroad?

Exempt (active / passive / cap)0 / 0 / 0

Taxable (active / passive / cap)0 / 0 / 0

Taxes already paid abroad (₪/year)

Offset against Israeli tax on taxable foreign income (not below 0).

4) Deductions (reduce taxable base)

Employee pension contributions (₪/year)

From payslips (תלוש): employee share, typically 6–7% of salary. Deductible portion.

Auto pension (self‑employed) — calculated (₪/year)

≈4.45% up to ~6,885 ₪/mo and 12.55% above, applied to self‑employed profit.

Additional pension (manual, ₪/year)

Voluntary contributions (קופת גמל עצמאיים), if any.

Other deductible amounts (₪/year)

Certain insurances, recognized losses (simplified).

Earned income before deductions0

− Total deductions0

= Taxable base (earned)0

5) Credits (reduce tax due)

Children ages 0–5

~3.0 pts/child (averaged across ages 0–5). Prorated by months resident.

Children ages 6–17

Female: 2.0 pts/child. Male: 1.0 pts/child. Prorated.

Supporting non‑working spouse (~1 pt/month)

Tick if spouse had no taxable income in 2026 (simplified).

Reserve duty credit points (annual)

New for 2026. Combat reservists: up to 48 pts (₪11,616) for 110+ days. Check ITA for your entitlement.

Additional credit points (annual)

Academic degree (1 pt for BA, 0.5 for MA), army/national service, age 18 child (0.5 mother / 0 father), etc.

Base monthly points0

Oleh auto points (annual)0

Total annual points0

Credit value (points)0

6) Bituach Leumi / Health

Estimate automatically from income (2026 rules)

Estimated BL/Health (auto)0

7) Results

Tax on earned income (progressive)0

Tax on capital income (25%)0

Tax on rental income (10%)0

Surtax (3% + 2%)0

− Credits & offsets0

Net income tax0

+ BL/Health0

= All‑in (tax + BL)0

Effective rate vs taxable0%

Effective rate vs total reported0%

All‑in (incl. BL) vs reported0%

≈ Monthly take‑home0

Approximate: (total reported income − all‑in) ÷ 12.

• For 2026 demo only. Numbers are rough estimates. Always confirm with a tax advisor / ITA.
• Inputs with "₪/year" expect annual ILS amounts.

Contact: Evgeniia Kochnova