Arnona is Israel’s municipal property tax: a yearly charge per square meter, billed by the city. The liable holder pays it. A tenant on a lease of at least one year can generally be registered as the holder; the owner normally remains liable for a shorter let or an empty or owner-occupied home. The same bill reaches tenants, owners and buyers in turn, depending on who holds the flat. If you are buying, it is one of the running costs in the cost of buying a house in Israel; if you are renting, it sits next to your total monthly rental cost. This page is the wiki entry for the topic, and the pages linked below go deeper on single angles.
What is arnona?
Arnona is the annual municipal property tax that funds city services, charged per square meter of the property. Each city sets its own rates in a yearly order called the tzav arnona. The person billed is the machzik, the holder of the property. It is separate from rent, but municipal payment arrangements can include CPI linkage. Tel Aviv’s 2026 order, for example, links its six instalments to the CPI; this is distinct from any index-linked rent under the madad. It is also a different charge from the building fee, which goes to your building (see vaad bayit building fees).
Who pays arnona, and from when?
The municipality bills the legally liable holder. For a lease of at least one year, the tenant can generally be registered as holder; shorter leases generally leave municipal liability with the landlord. A lease can allocate reimbursement between the parties, but that clause does not itself change the municipality’s holder records.
Notify the municipality in writing when possession changes and keep its acknowledgement. Confirm the accepted change date and the recorded holder; failing to notify the municipality can leave the account in the outgoing holder’s name. Check the city’s billing schedule and any advance-payment discount. Tel Aviv’s 2026 order permits six CPI-linked instalments. How to pay, including from abroad and online, is covered in settling your Jerusalem arnona bill from the U.S..
How is the arnona bill calculated?
Annual arnona is the chargeable area in square meters times the per-square-meter tariff. The tariff is not one national number. Each municipal order defines its own areas, property uses, building classifications and any size bands.
- Zone. Many municipalities use geographic tax zones. Use the official map for the address; a central or expensive location does not establish the tariff by itself.
- Use and building type. Residential, office, shop and storage uses have different classifications. Residential tariffs can also depend on the building description, completion year, elevator and other features specified in the local order.
- Size band. Some residential classifications distinguish apartment sizes. Check the particular table: there is no single nationwide size-band method.
The 2026 examples below use specific local classifications. Tel Aviv’s zone 1, building type אא, lists NIS 112.99 per sqm for apartments up to 140 sqm and NIS 139.60 for apartments above 140 sqm and villas of any size. Type אא generally covers buildings completed from 2022, subject to the table’s exceptions. The Netanya example uses zone 1, type C; a 90 sqm apartment with an elevator falls within that type’s 81-110 sqm elevator-building band. Other classifications have different rates, so confirm the address, building type and municipal chargeable area before using either example.
The chargeable area is what the municipality counts, which can include parts of balconies and storage, so it may differ from the size in your contract. Every year the city also updates the rates; the mechanics of that update, and what it means for the cost of holding property, are in the automatic-pilot story behind the 2026 arnona update and the small percentage that reshapes every deal. For the yearly cost of owning a home in the round, see Israel property tax in 2026.
What do the Tel Aviv and Netanya examples cost?
The examples use 90 sqm of municipal chargeable area in specified Tel Aviv and Netanya classifications. They are arithmetic illustrations, not quotes for an identical building in each city: local measurement rules and building classifications differ.
| City and zone | Rate (NIS/sqm/yr) | 90 sqm annual arnona | Annual base amount divided by 6 |
|---|---|---|---|
| Tel Aviv, zone 1, type אא, apartment up to 140 sqm | 112.99 | ~10,169 NIS | ~1,695 NIS |
| Netanya, zone 1, type C, 90 sqm apartment with elevator | 79.23 | ~7,131 NIS | ~1,188 NIS |
The base arithmetic is 90 sqm multiplied by the stated tariff: NIS 10,169.10 in the Tel Aviv example and NIS 7,130.70 in Netanya. Dividing by 6 gives a budgeting amount before any linkage, discounts or local payment adjustments. The ratio of these two selected tariffs is about 1.43; it does not measure a citywide cost difference or the tax on every identical flat.
Which discounts cut arnona?
Check the municipality’s eligibility rules and supply the required evidence. Where several personal discounts apply, the municipality generally grants the highest eligible one rather than adding them together. Property exemptions and other payment concessions have their own conditions.
- New immigrant (oleh chadash): the relevant category covers up to 100 sqm for 12 months within 24 months from registration as an oleh under the Law of Return, subject to local eligibility and application rules. The percentage varies: Tel Aviv’s 2026 order specifies 50%; Netanya specifies 81%, or 90% if its additional criteria are met. The applicant must be the eligible holder, which can include an owner as well as a qualifying tenant. Ask about the application deadline and any earlier eligible period. Tel Aviv-Yafo’s 2026 order also lists an immigrant-citizen (ezrach oleh) certificate as a separate route. For that category, its eligibility window starts on the date the status was obtained, as recorded on the certificate. The Ministry of Aliyah and Integration’s earlier First Steps guide says returning-minor (katin chozer) status alone does not qualify for this immigrant discount. Confirm current treatment and other discount categories with the municipality. Have your immigration or eligibility certificate available and ask it to assess your circumstances, including if you share the home or your spouse is a longer-established immigrant. Other oleh tax benefits are in oleh tax benefits, and rental guidance for arrivals is on the rental hub.
- Disability: relevant categories include up to 80% for an eligible recipient of a full general-disability pension with at least 75% earning incapacity, and up to 40% for qualifying medical disability of at least 90%. The applicable decision, supporting authority and municipal conditions matter; medical disability is not proved only through Bituach Leumi in every case.
- Active reserve duty (miluim): up to 5 percent off. A serving active reservist (mesharet miluim pa’il) with a valid certificate, registered as the apartment’s tenant or owner, may get a small cut. It is discretionary, so each city decides whether and how much, and you apply at the local arnona office. Some cities publish a cut-off date for new applications, so apply early.
- Students: check eligibility under the municipality’s current income-based or other applicable category, and confirm the application deadline with that authority. Student status alone should not be treated as a nationwide fixed-percentage discount.
- Low income: a means-tested discount depends on household size, the defined income calculation and the municipality’s current table. Rates and thresholds vary; Tel Aviv’s 2026 table includes 20%, 40%, 60% and 80% bands for smaller households and other bands for larger households.
- Single parent: a reduced rate for single parents, at the authority’s discretion.
- Senior citizen: a senior discount that depends on income and age, larger for a senior also receiving income support.
The oleh discount, worked in shekels
For a 90 sqm eligible property, the 100 sqm cap does not reduce the area in this example. The table applies the stated local oleh percentage: 50% in Tel Aviv and 81% in Netanya. Netanya’s higher 90% rate requires additional criteria. Actual entitlement also depends on the eligible period, holder and any sharing arrangements.
| City | Full-rate 90 sqm/yr | Oleh pays after the stated local discount | Saved in 12 months |
|---|---|---|---|
| Tel Aviv (zone 1, type אא) | ~10,169 NIS | ~5,085 NIS (50% payable) | ~5,085 NIS |
| Netanya (zone 1, type C) | ~7,131 NIS | ~1,355 NIS (19% payable) | ~5,776 NIS |
Calculate the discount from the unrounded annual base: Tel Aviv, 90 × 112.99 × 50% = NIS 5,084.55 saved; Netanya, 90 × 79.23 × 81% = NIS 5,775.867. The displayed amounts are rounded. A qualifying 120 sqm property with a 100 sqm discount cap receives the applicable local percentage on 100 sqm, with the remaining 20 sqm at full rate. Compare the eligible personal discounts and confirm any shared-occupancy allocation with the municipality.
How do you put the bill in your name?
Notify the municipality promptly when you take or leave possession, using its change-of-holder procedure. A qualifying tenant or buyer should confirm the recorded holder, effective date and any discount separately. Required documents and submission methods vary; Tel Aviv, for example, asks for a complete lease of at least one year for a tenant and a signed sale agreement plus identification for a change of owner.
- Your rental contract, or for a buyer proof of ownership or possession.
- The municipality’s change-of-holder form or notice, with the property details, relevant dates and the parties’ identifying information. Obtain any signatures or supporting declarations required by that authority.
- Your own ID (teudat zehut or passport).
- The current arnona bill or property number, if you have it.
Ask the municipality to confirm the accepted change date, the account balance and the revised billing period. Do not assume that submitting a form resolves a disputed start date or old balance.
What if the previous occupant left a debt?
Ask the municipality to identify the liable holder and charging period for any old balance. A previous occupant’s arrears should not simply be treated as your own charges, but a disputed account requires checking the dates, notices and legal basis. Obtain the answer in writing.
Give written notice promptly and keep proof of delivery. Confirm that the municipality has recorded the correct holder and transfer date. Ask for an itemised balance showing each period, and dispute an incorrectly attributed debt rather than acknowledging it. A unit under major renovation raises its own question, covered in arnona while a home is being remodeled.
How do you appeal or split a bill?
If the bill looks wrong, file an objection (hasaga) within 90 days of receiving it. You can object on grounds of an error in the zone, the building type, the property size, the use, or who is recorded as the holder. You file it with the Municipal Tax Administration. If the municipality replies and you still disagree, you can appeal to the Appeals Committee within 30 days of receiving that reply.
Mid-period split. Confirm the actual transfer date and submit the municipality’s required notice and evidence. For example, Tel Aviv’s 2026 order allocates the annual charge according to the days of possession when a holder enters after 1 January. A joint statement may help establish the date, but it is not a universal standalone rule for liability.
Empty-unit exemption. A property that is completely empty of any person and any object, and not in use, can usually get a full exemption for a limited period, often up to six months and typically once per period of ownership. The exact duration and conditions are set by each municipality, so confirm locally. It is mostly an owner’s tool, but if you take over a unit that sat empty, the prior holder may have used part of that one-time window, which can affect what is owed before your entry.
What should a renter check before signing?
- Is your lease at least 12 months? Confirm that you qualify to be recorded as holder and submit the required change notice.
- Does the contract say who carries arnona? Short leases often fold it into the rent.
- Have you submitted the change-of-holder form and supporting documents required by your municipality, and kept its acknowledgement?
- Did you request an itemised account balance and resolve any charge attributed to the wrong holder or period?
- Does the chargeable area on the bill match your flat? If it looks inflated, that is grounds for a hasaga.
Arnona is one line in a bigger budget. The companion guides are setting up utilities, choosing a neighborhood (the city changes the tax sharply), how to rent in Israel, the rental documents checklist and the rental glossary. Buyers will find the property terms in the Israel real estate glossary.
What needs a professional?
- A hasaga that turns on the chargeable area, the zone or the building type: you can have the flat measured and file the objection within the 90 days.
- A disputed or unclear arrears balance before you sign a lease or a purchase contract: have your lawyer get the written balance and the clause that keeps you clear of it.
- Any empty-unit exemption or mid-period split on a property you own or are buying: confirm the city’s conditions in writing.
- A discount claim that mixes oleh, income and disability status: the municipality or an adviser should confirm which single discount is highest.
Which tool or office do you use?
Your city’s arnona desk, current tax order, zone map and discount pages are the primary sources for the property. To budget the number, take the confirmed bill into your total monthly rental cost or, as a buyer, into the cost of buying a house in Israel. The process around a purchase is in how to buy property in Israel.
Frequently asked questions
What is arnona?
Arnona is Israel’s annual municipal property tax, charged per square meter and billed to the holder of the property. Each city sets its rates in its own yearly order.
What does arnona mean for a tenant?
On a qualifying lease of at least 12 months, the tenant can generally be registered as holder. For shorter lets the landlord generally remains municipally liable; the lease may allocate reimbursement separately. Submit the required written notice and confirm the account.
How big is the arnona discount for new immigrants?
The local percentage applies to up to 100 sqm for the eligible 12 months within the first 24 months. In the 2026 examples above, Tel Aviv uses 50%, and Netanya uses 81% unless its additional criteria justify 90%. On the stated 90 sqm base tariffs, the rounded savings are about NIS 5,085 and NIS 5,776 respectively.
What is the arnona in Tel Aviv?
Tel Aviv’s 2026 zone 1, type אא rate is NIS 112.99 per sqm for an apartment up to 140 sqm, giving a base charge of NIS 10,169.10 for 90 sqm before discounts or payment linkage. Building type, zone and measured area must match the municipal order; this is not a citywide rate.
Can I be charged the previous occupant’s unpaid arnona?
Check the liable holder, period and notices for any disputed balance. Prompt written notice and an itemised account help establish which charges concern your possession; registration does not by itself erase an earlier debt or resolve a disputed liability.
My bill says my flat is bigger than it is. What do I do?
File a hasaga within 90 days of receiving the bill, citing an error in the property size. If the municipality has overstated the chargeable area, ask it to correct the assessed area and recalculate any affected classification or charge.
Sources
- Tel Aviv-Yafo Municipality, Arnona and City Taxes (English)
- Netanya Municipality 2026 tax order (residential rates)
- Schuna arnona rates guide 2026 (per-city aggregator)
- Nefesh B’Nefesh, arnona discounts and renting guidance
- Arrangements in the State Economy (Discounts in Arnona) Regulations 5753-1993
- Kol Zchut, arnona discount for reservists (miluim)
- Kol Zchut, arnona discount for new immigrants and low income
- Michael Decker and Co. (lawoffice.org.il) on objections and the empty-unit exemption
Your one next step: when possession changes, submit the municipal change-of-holder notice, ask for the itemised balance and check eligibility for the applicable discount. Keep written confirmation of the accepted dates and classification. This is general information, not legal or tax advice; confirm a disputed liability with a licensed professional.
