The Knesset Finance Committee today approved an amendment to the real estate tax regulations regarding benefits granted to new immigrants purchasing real estate in Israel.
The Knesset Finance Committee today approved an amendment to the real estate tax regulations that will benefit new immigrants purchasing real estate in Israel. New immigrants will be entitled to a reduction in the purchase tax of 0.5% instead of 3.5% to 5% on a home worth up to NIS 6 million.
According to the amendment, a new immigrant, like all Israelis who buy a home in Israel, will be exempt from the purchase tax on the first NIS 1.98 million of any first home (as of 2024). Above NIS 1.98 million and up to NIS 6 million (according to the 2024 index), new immigrants will pay a 0.5% purchase tax. Israelis must pay a 3.5% purchase tax on the NIS 1.98 million to NIS 2.34 million bracket and a 5% purchase tax on the NIS 2.34 million to NIS 6 million bracket. Above NIS 6 million, new immigrants will pay an 8% purchase tax, like all Israelis, and 10% above NIS 20 million.
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Finance Minister Bezalel Smotrich said: « The State of Israel welcomes immigrants, especially at a time when we must, as a country, do everything possible to facilitate the return of new immigrants from around the world to their country. »
Aliyah and Absorption Minister Ofir Sofer welcomed the approval of the measure. He said: “This is good news that will help many immigrants settle in Israel and encourage interest in immigration and the decision to immigrate to Israel. Since the beginning of the war, immigration to Israel has continued and interest continues to grow.”
Published by Globes, Israeli business news – fr.globes.co.il – July 29, 2024.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2024.
Home Purchase Credit: Shutterstock
Ela Levy-Weinrib and Yuval Nisani