Tax incentive for Ashkelon residents approved

The maximum benefit amount will be 10,260 shekels per year, that is, a city resident with a salary of about 12,000 shekels gross, who does not have additional preferential tax units, will receive an increase in net income in the amount of 855 shekels per month.

The tax benefit will be applied retroactively from January 2026. To do this, you must contact your employer and check box 3 on Form 101 to receive the benefit retroactively.

It should be noted that economists opposed this move for several reasons – Ashkelon is a much larger city than Sderot or Ofakim, and the tax break deprives these cities and towns adjacent to the Gaza Strip from benefiting.