Israel Income Tax 2027 Calculator (Mas Hachnasa)
Calculate your 2027 Israel income tax using the official Mas Hachnasa progressive bands of 10–50%, including the standard 2.25 credit-point allowance (ekev nikkudei zikkui).
2027 Israel Tax Brackets (Monthly Adjusted)
Israel uses progressive bands on annual income: 10% up to ~₪84,120, then 14%, 20%, 31%, 35%, 47%, with a 3% surtax kicking in past ~₪721,560. Brackets index annually with CPI.
Credit Points (Nikudei Zikkui)
Every resident gets 2.25 base credit points; women get an extra 0.5; new immigrants get 3 for the first 18 months. Each point reduces annual tax by ~₪2,856 in 2027 (₪238/month). A working mother of two often has 4+ credit points.
Bituach Leumi (NIS)
National Insurance is separate — 0.4% to 7% employee + 3.55% to 7.6% employer up to the contribution ceiling (~₪51,890/month 2027). Use our dedicated NI calculator for that calculation.
Self-Employed (Atsmai)
Self-employed pay the same income tax bands but also pay employer + employee Bituach Leumi (combined ~17%). They get fewer credit points and must file quarterly mikdama advance payments.
Source: taxes.gov.il (Israel Tax Authority) 2026 brackets indexed to 2027. Last updated: May 2026.
Frequently Asked Questions
What is a credit point (nikudei zikkui)?
It's a fixed tax reduction. Each point cuts your annual tax by ~₪2,856 (₪238/month) in 2027. A standard resident gets 2.25 points; women and new immigrants get more.
Is the 50% bracket the top rate?
Effectively yes for residents. A 3% surtax applies on income over ~₪721,560/year (2027), making the top effective rate 50%.
Do I pay tax on overseas income?
Israeli residents pay tax on worldwide income, with foreign tax credit for tax paid abroad. New immigrants get a 10-year exemption on most foreign-source income.
What about Bituach Leumi (NI)?
Separate from income tax. Combined employee + health tax is 0.4–12% depending on income tier. Use our Israel National Insurance calculator for that figure.
Is my data private?
Yes. All calculations run in your browser. Income, contribution and asset data are never sent, stored, or shared.