Real estate taxation · Implementation Instruction
Implementation Instruction 2/2019: Purchase Tax Rate on the Purchase of a Residential Apartment Replacing a Single Residential Apartment in a Purchase Group Whose Construction Has Not Yet Been Completed
Summary
Real Estate Taxation Circular 2/2019 explains Amendment 93 to the Law, which added section 9(C1C)(2)(B1): an individual whose single apartment was purchased in a purchase group whose construction has not yet been completed, and who bought a new residential apartment, is entitled to the purchase tax brackets for a single apartment if he sells his rights in the apartment in the group within 18 months of the date of completion of its construction. The track applies where the new apartment was purchased after 4 years from the purchase of the apartment in the group and construction had not begun or the Director was persuaded that there was a material delay beyond the purchaser's control, or after 6.5 years if possession had not yet been delivered, and provided that the purchaser did not have an additional apartment. The provisions do not apply where the old apartment was purchased from a contractor; they also apply to purchases prior to 28.6.18, subject to the limitation period under section 85, and the tax difference is frozen for a period of 3.5 years from the date of purchase of the new apartment.
The summary was written by the office and reflects the instruction as of its publication date. The binding text is the official Hebrew publication, and the instruction may have been updated or affected by later legislation and case law. The English title and summary are an unofficial translation.
Publication details
- Type
- Implementation Instruction
- Number
- 2-2019
- Publication date
- 8.5.2019
- Topics
- Purchase tax, Single and replacement apartment
- Sections of the Law mentioned
- 85 9 49ה
Related publications
Official document
Source: The publication on the Israel Tax Authority website (gov.il, Hebrew)
Suggested citation
Israel Tax Authority, Implementation Instruction 2-2019, "Implementation Instruction 2/2019: Purchase Tax Rate on the Purchase of a Residential Apartment Replacing a Single Residential Apartment in a Purchase Group Whose Construction Has Not Yet Been Completed" (8.5.2019) [Hebrew]
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