Last updated: September 2026

Purchase tax (Mas Rechisha)

In short: Purchase tax is paid by the buyer of a right in land in Israel. A single home enjoys exempt and reduced brackets; an additional home, land and plots are taxed at higher rates, 6% on land.

In short

The buyer pays the state a tax on the purchase itself. How much depends on what you buy: a single home gets low brackets, an additional home is taxed from the first shekel, and land or a plot pays a flat rate.

The professional explanation

Brackets for a single home and an additional home are updated every 16 January. For 2026: single home - 0% up to NIS 2,058,000, 3.5% up to 2,441,000, 5% up to 6,297,000, 8% up to 20,991,000 and 10% above. Additional home/investor - 8% up to 6,108,000 and 10% above.

A right in land that is not a residence (land, plot, commercial, agricultural) is taxed at a flat 6%, with a possible 1% refund on building land where a permit for a dwelling is obtained within 24 months of purchase.

Reliefs exist for new immigrants, people with disabilities and home-upgraders selling their previous home within a statutory period. Declaration and payment are due within 30 days of the deal.

Example from the field

A buyer of a plot for a detached house in Hod Hasharon paid 6% purchase tax. After receiving a building permit within two years, they applied for the 1% refund the law allows.

Frequently asked questions

How much purchase tax on land?

6% of the purchase value. For residential building land where a permit for at least one dwelling is issued within 24 months, a 1% refund is available.

Where can I calculate purchase tax?

With the purchase tax calculator on the Afik Hanahal site (2026 brackets) or the Tax Authority's calculator. For personal tax planning consult a lawyer or tax adviser.

Related services

Land investmentSupporting investors buying private land in the Sharon and Central Israel: land at planning stages, zoning and risk checks, taxation and accessible entry prices. No promises — checks.Read more →Sell your propertySelling an apartment, house or plot in the Sharon: valuation, preparation, targeted marketing, buyer screening, negotiation and support through contract and registration. Free first consultation.Read more →

Tools

Purchase tax calculator 2026Purchase tax calculator updated for 2026: single home, additional home/investor and land or plot (6%). Bracket breakdown and effective rate, no sign-up.Read more →