Does inheritance tax have to be paid on the estate of a deceased person domiciled in Israel ? Do beneficiaries or heirs abroad have to pay tax on what they inherit from the deceased’s estate ?
By: דיאנה שאלתיאל•Published on: 13 May, 2022Inheritance tax does not exist in Israel today ; it was abolished many years ago. In recent years there have been attempts to reintroduce it but these have not materialized. Thus, at present, where a person subject to Israeli taxation laws dies , no tax will be due on his/her estate according to Israeli law. However, a beneficiary /heir domiciled abroad will be subject to taxation on what he/she inherits according to the laws of their own particular country.