Free check

Tax refund calculator for employees in Israel

Last reviewed: · How we check information

Many employees pay more tax than they should: after several employers in a year, a partial year, or when the employer missed credit points. The calculator works out the correct tax for each year using that year's brackets and credit points, and compares it with the tax withheld on Form 106.

Calculator

About you
Sex

For example: 2015, 2019. Leave blank if you have no children.

The number of children. Leave blank if none.

Only for new immigrants and returning residents.

The points apply for 36 months after discharge.

Degree or professional diploma
Figures from Form 106

Total of all employers that year.

Total of all employers that year.

Choose your sex and, for each year, enter taxable income and tax withheld.

An estimate from tax brackets and credit points. Pension deposits, self-employment and capital gains are not included. The Tax Authority decides the refund.

What you need

  • Form 106 from each employer for each year. With several employers in a year, add up the taxable income and tax withheld from all forms.
  • Details for credit points: children, aliyah, army service, degree.
  • Receipts for donations (over ₪207 a year) and private life insurance, if any.

How the refund is calculated

  1. Tax is calculated with that year's brackets on income from work.
  2. Credit points are subtracted at that year's value.
  3. A 35% credit for donations and 25% for life insurance is subtracted, up to the legal limits.
  4. With a 90% disability or blindness, income up to the section 9(5) ceiling is exempt.
  5. The difference between tax withheld and the correct tax is the estimated refund.

The calculation does not include pension and study fund deposits already reflected in Form 106, self-employed income, interest or capital gains, so the actual refund may differ.

How to apply

Apply for a refund, usually with a short return (Form 135), in your personal area on the Tax Authority website, separately for each year. You can claim up to 6 years back without paying anyone.

Frequently asked questions

How many years back can I claim a tax refund?

Six years. In 2026 you can claim for 2020 to 2025.

I had two employers. Am I owed a refund?

Often yes: each employer withholds tax as if it were the only one, so too much is taken over the year. Enter the totals of both forms together.

Do I need to pay a company to get a tax refund?

No. You can apply yourself in your personal area on the Tax Authority website. Companies usually take a percentage of the refund.

Where do I find taxable income and tax withheld?

On Form 106, which your employer gives you at the end of each year: 'הכנסה חייבת' and 'מס הכנסה שנוכה'.

  • Tax Refund for Employees

    A refund of tax over-deducted from your salary. You can claim up to 6 years back, yourself and with no fee.

  • Tax Credit Points

    Each credit point cuts your income tax by ₪242 a month. Children, aliyah, army service, a degree — and missed points can be reclaimed for past years.

  • Disability Tax Exemption (9(5))

    People with a disability of 90% or more, or who are blind, pay no income tax on earnings up to ₪445,200 a year.

Sources

This is general information, not legal advice. Amounts are correct as of the review date and change every January.