Israel Income Tax Calculator 2026
Calculate your exact net salary in Israel after Mas Hachnasa — Personal Income Tax and social security. All 7 tax brackets. Updated Q1 2026.
Your employer pays an additional ₪3,750 (7.5% of gross). Total employment cost = ₪53,750.
How income tax works in Israel
Income tax in Israel is administered by the Israel Tax Authority (ITA) under Mas Hachnasa — Personal Income Tax. National Insurance: employee 3.5–12%. Surtax: extra 3% on income above ILS 721,560. Brackets in ILS.
Israel uses a progressive schedule of 7 brackets: each slice of income is taxed at the rate of the band it falls in — not your highest rate applied to the whole salary. Social security (11.5% of gross) is deducted first; income tax is then applied to the remainder band-by-band.
Israel pays salaries across 12 monthly instalments.
Key tax dates in Israel
| Event | Date / Note |
|---|---|
| Tax year start | 1 January |
| Tax year end | 31 December |
| Filing deadline | 30 April |
| Withholding regime | Mas Hachnasa — Personal Income Tax |
Deductions and allowances
- ·Credit points system (~ILS 9,288/year base credit)
- ·Mandatory pension contributions
- ·Study fund (Keren Hishtalmut)
- ·New immigrant extra credit points
National Insurance: employee 3.5–12%. Surtax: extra 3% on income above ILS 721,560. Brackets in ILS.
Special tax regimes
New immigrant (Oleh Hadash) / Returning Resident: 10-year tax exemption on foreign-source income.
Read full guide →All 7 brackets for 2026
| # | Income Range (₪) | Marginal | Effective at Top |
|---|---|---|---|
| 01 | ₪0 — ₪81,480 | 10% | 20.4% |
| 02 | ₪81,480 — ₪116,760 | 14.0% | 21.1% |
| 03 | ₪116,760 — ₪187,440 | 20% | 23.7% |
| 04 | ₪187,440 — ₪260,520 | 31% | 27.1% |
| 05 | ₪260,520 — ₪542,160 | 35% | 34.9% |
| 06 | ₪542,160 — ₪698,280 | 47% | 37.9% |
| 07 | ₪698,280 — ∞ | 50% | — |
Source · Israel Tax Authority (ITA) · Data updated Q1 2026
Frequently asked
What is the income tax rate in Israel?+
Israel applies progressive Mas Hachnasa — Personal Income Tax rates from 10.0% on the lowest band up to 50.0% on the highest, across 7 brackets in 2026.
How much social security do you pay in Israel?+
Employees pay 11.5% of gross salary as social security. National Insurance: employee 3.5–12%. Surtax: extra 3% on income above ILS 721,560. Brackets in ILS.
What is the Mas Hachnasa — Personal Income Tax personal allowance in Israel?+
The main allowances are: Credit points system (~ILS 9,288/year base credit); Mandatory pension contributions. See §03 for the full list.
When do you file taxes in Israel?+
The filing deadline in Israel is 30 April. Tax year runs 1 January to 31 December.
How much take-home pay on ₪150,000 gross in Israel?+
On a ₪150,000 gross salary the effective rate is 22.4%, leaving approximately ₪116,465 net per year — about ₪9,705 per month across 12 payments. (For reference: ₪50,000 gross nets ₪39,825.)
Does Israel have any special tax regimes for expats?+
New immigrant (Oleh Hadash) / Returning Resident: 10-year tax exemption on foreign-source income.
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