Startup Nation — Ancient History, Modern Innovation
Yes — the oleh chadash regime exempts foreign-source income and capital gains (foreign salary, business, dividends, interest, rent, and gains) from Israeli tax for 10 years from your aliyah date. But any income earned inside Israel is taxed at standard rates from day one. And if you become resident on or after 1 January 2026, you must still report the foreign income and assets even though it is exempt from tax — the old reporting exemption was abolished.
You are presumed resident if you spend 183+ days in Israel in a tax year, or 30+ days this year plus 425+ days across three years. But the decisive test is your 'center of life' — where your home, family and economic ties actually are. The day counts are rebuttable presumptions, not automatic rules, so a professional determination matters if you split time between countries.
Often not. If your income tax is fully withheld at source and you fall below the reporting thresholds, you are generally exempt from filing. You must file if you are self-employed, have foreign income, hold a substantial shareholding, your salary exceeds ₪723,000, or you are liable to the 3% surtax. The deadline is 30 April, extended to 31 May for online (SHAAM) filing.
At the full-rate band (monthly salary from ₪7,703 up to the ₪51,910 ceiling), employees pay about 12.17% combined — 7% National Insurance plus 5.17% health tax. On the first ₪7,703 the reduced rates are far lower (1.04% + 3.23%). Employers add 4.51%–7.6% on top. Contributions fund your pension, benefits and healthcare access.
The standard VAT (Ma'am) rate is 18%, raised from 17% in January 2025. There are no reduced positive rates — items are standard-rated, zero-rated (e.g. exports) or exempt. VAT is included in displayed retail prices, so the shelf price is what you pay.
Prepaid SIMs are effectively anonymous — there's no mandatory real-name registration to activate them, though shops will usually ask to see your passport at purchase. Any monthly/contract plan, or porting a number, does require ID and an Israeli payment method. All four networks support eSIM, but note that Ben Gurion Airport sells only physical tourist SIMs, not eSIMs.
No. Bit and PayBox are tied to an Israeli bank account and an Israeli phone number. Until those are set up, you'll rely on cards, Apple/Google Pay and cash. Because 'send it to me on Bit' is a daily request here, getting a local number and bank account early is worth prioritising (banking details are in the Banking & Finance tab).
Not as private ride-hailing. As of 2026, Uber and Lyft do not operate here; a bill to legalise private-car ride-hailing only passed a preliminary Knesset vote in March 2026 and is not yet law. Use Gett (nationwide, and the official Ben Gurion Airport taxi operator) or Yango (popular for upfront fixed prices) — both dispatch licensed, metered taxis.
Set up Horaat Keva (הוראת קבע), an automatic monthly direct debit from your Israeli bank account, for electricity, water, gas, arnona and telecom. It prevents missed due dates and often earns a small discount (about 0.75% on electricity). You can alternatively pay each cycle by Israeli credit card online, at a post office, or via aggregators like CityPay.
Israeli addresses put the street name first, then the building number on the same line (e.g. 'Rothschild 45'), then city and a 7-digit Mikud postal code. Yes — always include the Mikud; parcels without it can be delayed. In multi-unit buildings, add the entrance (כניסה) letter and apartment (דירה) number, and when ordering deliveries drop a map pin and leave a phone number, since couriers call.