David\u00a0 Halbwax L.L.M, International Legal counsel\u00a0<\/i><\/b><\/p>\n

Bracha & Co -October 2020-<\/i><\/b>\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/b>\u00a0<\/b><\/p>\n

Since July, 20, 2020 and for a period until January 15, 2021, Knesset approves investment home purchase tax cut proposed by Minister of Finance Israel Katz.<\/span><\/p>\n

The purchase tax known as “Mass Rechisha“ imposed on property investment has been significantly reduced in order to stimulate activity within the local real estate market during the Corona\u00a0 crisis.<\/span><\/p>\n

The temporary order initiated by the previous minister of finance, Moshe Kahlon, raising purchase tax for buyers of investment properties to 8% has been cancelled and the level of purchase tax for investors reverts to its former level of 5%.<\/span><\/p>\n

Israel seeks to bring investors back to the real estate market.<\/span><\/p>\n

The purchase tax for buyers buying their only home will remain the same.<\/span><\/p>\n

But on investment homes, the tax is reduced to the following (NIS):<\/span><\/p>\n

1\u00a0 to<\/b> 1,292,280\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0<\/b> 5%<\/b><\/p>\n

1,292,280\u00a0 <\/b> to\u00a0 <\/b> 3,876,835\u00a0 \u00a0<\/b> 6%<\/b><\/p>\n

3,876,835<\/b> to<\/b> 5,338,290\u00a0 \u00a0 \u00a0<\/b>\u00a07%<\/b><\/p>\n

5,338,290<\/b> to <\/b> 17,794,305\u00a0 \u00a0<\/b> 8%<\/b><\/p>\n

17,797,305\u00a0<\/b> up to <\/b> \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a010%<\/b><\/p>\n

Note that these revised rates concern non-residents but also residents who own at least one other property.<\/span><\/p>\n

If you are an Israeli resident and do not own any other property, you will be able to claim lower rates and be exempt up to NIS 1,744,505.<\/span><\/p>\n

On the other hand, if you are a new immigrant, and even if you own another property, you will ALSO have an advantageous rate of 0.5% under certain conditions.<\/span><\/p>\n

Bracha & co offers you its support to make the right investment choices in the real estate sector and guarantees tax optimization of your assets in Israel.<\/i><\/b><\/p>\n

comprehensive legal services regarding the tax-related aspects>>><\/a><\/strong><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

David\u00a0 Halbwax L.L.M, International Legal counsel\u00a0 Bracha & Co -October 2020-\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Since July, 20, 2020 and for a period until […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_links_to":"","_links_to_target":""},"categories":[1],"tags":[],"class_list":["post-15663","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"\n