Big news for anyone thinking of moving to Israel, the government just unveiled a 0% income tax rate for new immigrants and returning residents arriving in 2026. The incentive will remain in effect for the first two years, gradually increasing to 10% in 2028, 20% in 2029, and 30% in 2030.

The reform, part of the 2026 state budget, aims to attract skilled professionals and investors amid rising antisemitism abroad. Officials say the plan will boost Israel’s economy while facilitating the integration of immigrants more quickly. Would a tax-free start tempt you to relocate?