If you plan to soon purchase an apartment that costs more than NIS 1,919,155 (as of 2023) – you may and will have to pay purchase tax.
In order to receive an exemption from purchase tax, first the buyer must be a “resident of Israel” as defined in the law, second the apartment must be a “single apartment” in the law.
There is a proviso to the definition of a single apartment and it can also be considered for those who own one third (1/3) of an apartment purchased jointly or alternatively half (1/2) of an apartment that they receive as an inheritance.
Information and you intend to buy a first apartment with a price above the price indicated above, you will pay purchase tax according to the following steps:
Up to a price of NIS 1,919,155 – no purchase tax will be paid at all.
Price starting from 1,919,155 NIS and up to a price of 2,276,360 NIS – you will pay a purchase tax of 3.5%.
Price starting from NIS 2,276,360 up to a price of NIS 5,872,725 – you will pay a purchase tax of 5%
Price starting from NIS 5,872,725 up to a price of NIS 19,575,755 – you will pay a purchase tax of 8%
Starting price of NIS 19,575,755 – you will pay a maximum tax of 10%
If you are really asked to buy an apartment, it is important to know what the tenants must offer them for various tax benefits, please contact us and we will help you with professional knowledge and experience.
