Income tax in Israel (2026)
In 2026, income tax in Israel runs from 10% to 50%. On a ₪600,000 salary you take home ₪373,786 a year, ₪31,149 a month.
Income tax rates
- Top rate
- 50%
- Lowest rate
- 10%
- Tax-free allowance
- None
- VAT
- 18%
- Capital gains
- 25%
The 2026 bands, in Israeli New Shekel
| Taxable income (after allowance) | Rate |
|---|---|
| ₪0 to ₪84,120 | 10% |
| ₪84,120 to ₪120,720 | 14% |
| ₪120,720 to ₪228,000 | 20% |
| ₪228,000 to ₪301,200 | 31% |
| ₪301,200 to ₪560,280 | 35% |
| over ₪560,280 | 47% |
These are the national bands. The top rate of 50% also counts surcharges and regional or local income taxes.
Take-home pay by salary
₪200,000: ₪160,104 take-home (19.9% total tax)₪250,000: ₪191,599 take-home (23.4% total tax)₪300,000: ₪220,014 take-home (26.7% total tax)₪350,000: ₪246,477 take-home (29.6% total tax)₪400,000: ₪272,892 take-home (31.8% total tax)₪450,000: ₪299,307 take-home (33.5% total tax)₪500,000: ₪325,722 take-home (34.9% total tax)₪600,000: ₪373,786 take-home (37.7% total tax)₪700,000: ₪423,997 take-home (39.4% total tax)₪800,000: ₪474,644 take-home (40.7% total tax)₪900,000: ₪524,644 take-home (41.7% total tax)₪1,000,000: ₪574,644 take-home (42.5% total tax)₪1,200,000: ₪674,644 take-home (43.8% total tax)₪1,500,000: ₪824,644 take-home (45% total tax)₪2,000,000: ₪1,074,644 take-home (46.3% total tax)
Compare with other countries
Cost of living in Israel
Frequently asked questions
What are the income tax rates in Israel?
Income tax in Israel runs from 10% to 50%, in 6 bands.
Is there a tax-free allowance in Israel?
No — Israel has no general tax-free allowance.
What is the take-home pay on ₪600,000 in Israel?
On ₪600,000 in Israel you take home ₪373,786 a year — ₪31,149 a month.
2026 rules checked against taxsummaries.pwc.com. Single person, employee, no other income. Not tax advice. Change the details