Israel Income Tax (Mas Hachnasa) Calculator 2026
Calculate Israel income tax (Mas Hachnasa, מס הכנסה) for 2026 per Israel Tax Authority. Progressive brackets 10% to 50% with personal credit points (nekudot zikui — 2.25 base + extras for children/spouse/disability). Excludes Bituach Leumi (separate calc). Reflects 2026 indexed thresholds.
Israel Tax Brackets 2026
Progressive brackets indexed to inflation. 2026 (approximate, annual income): up to ILS 84,120 → 10%; 84,120–120,720 → 14%; 120,720–193,800 → 20%; 193,800–269,280 → 31%; 269,280–560,280 → 35%; 560,280–721,560 → 47%; over 721,560 → 50% (incl. high-income surtax). Verify with Israel Tax Authority (rasha.mof.gov.il) for 2026 exact figures.
Credit Points (Nekudot Zikui)
Each credit point = ILS 244 monthly (ILS 2,928 annually for 2026, indexed). Base credits: Israeli resident 2.25 points; woman 0.5 additional. Family credits: each child under 18 — 1 point (additional 1 point for child 1-5, additional 0.5 for child 6-17); spouse not working — 0.25; new immigrant first 18 months — 3.0; soldier discharged from IDF — 1-2 over 36 months. Credits applied as direct tax reduction.
Health Tax (Mas Briut)
Mandatory health insurance contribution under National Health Insurance Law: 3.10% on first ILS 7,522/month (low rate); 5.00% on income above that. Separate from Bituach Leumi (national insurance). Collected by Bituach Leumi institute on behalf of the National Health Insurance Fund. Self-employed compute differently.
Annual Tax Reconciliation
Most salaried workers do NOT need to file annual tax return — employer's PAYE (Tofes 101) settles taxes. Required to file (Tofes 1301) if: (1) self-employed; (2) multiple income sources; (3) annual income over high threshold (~ILS 720K/yr in 2026); (4) rental income above exemption (~ILS 5,654/mo); (5) capital gains exceeding annual exemption. Filing deadline: 30 April (extended to 31 May for online filing).
Sources: Israel Tax Authority (Rasha) Income Tax Ordinance, National Insurance Institute (Bituach Leumi), Health Insurance Law. Last updated: May 2026.
Frequently Asked Questions
What are Israel income tax brackets for 2026?
10% up to ILS 84,120; 14% to 120,720; 20% to 193,800; 31% to 269,280; 35% to 560,280; 47% to 721,560; 50% above. Indexed annually — verify exact figures with Israel Tax Authority.
What are nekudot zikui (credit points)?
Tax credit units — each worth ILS 244/month (~ILS 2,928/year for 2026). Base: 2.25 points for Israeli residents. Additional: woman +0.5, children, new immigrant 3.0, IDF discharged 1-2, spouse not working 0.25. Credits directly reduce tax owed.
Do I need to file an annual tax return?
Most salaried workers do NOT need to file — employer's PAYE settles taxes via Tofes 101 + 106. Required to file Tofes 1301 if: self-employed, multiple income sources, income above high threshold, rental income above exemption, or significant capital gains.
What is Mas Briut (health tax)?
Mandatory health insurance contribution: 3.10% on income up to ILS 7,522/month, 5.00% above. Collected by Bituach Leumi (National Insurance Institute) on behalf of the National Health Insurance Fund. Separate from income tax and Bituach Leumi pension contributions.
What is Bituach Leumi?
Israel's National Insurance Institute — separate calculation from income tax. Covers old-age pension, disability, unemployment, maternity. Employee rate: 0.4% on income to ILS 7,522/month, 7.0% above. Combined with employer's ~3.55-7.6% match. See separate Bituach Leumi calculator.