Israel

As of 2025, the portion of an individual's annual taxable income from capital sources (e.g., capital gains, real estate appreciation, dividends, interest, CPI linkage differentials, rental income, passive royalties, etc.) exceeding a certain threshold (NIS 721,560 in 2025) is subject to an additional surtax of 2%.

As of 2025, the standard VAT rate in Israel increased from 17% to 18%.