{"id":8519,"date":"2025-09-30T12:31:28","date_gmt":"2025-09-30T12:31:28","guid":{"rendered":"https:\/\/aboulafia.co.il\/?p=8519"},"modified":"2025-09-30T12:31:28","modified_gmt":"2025-09-30T12:31:28","slug":"negative-income-tax-grant-2013","status":"publish","type":"post","link":"https:\/\/aboulafia.co.il\/en\/binyamin-radomsky-en\/negative-income-tax-grant-2013\/","title":{"rendered":"Negative Income Tax Grant 2013"},"content":{"rendered":"

A number of years ago, the government introduced a scheme designed to help workers earning very little. This grant, based on average monthly earnings in the previous tax year (hence the term \u201cincome tax\u201d), was initially available only to those living in certain parts of the country.<\/p>\n

<\/div>\n
Who is eligible?<\/u><\/strong><\/div>\n
<\/div>\n
You must meet the following criteria:<\/div>\n
1. Be aged 55+ or aged between 23 and 54 and have at least one child.<\/div>\n
2. You, together with your spouse, own no more than a 50% stake in any land or property (worldwide) that is not your residence.<\/div>\n
3. Your average monthly earnings in 2013 (salary or freelancer, based on actual months worked) was between approx. 2,050 NIS and 6,717 NIS.<\/div>\n
<\/div>\n
It should be stressed that you are not eligible for months on which you received salary from a family member, or a company controlled by a family member.<\/div>\n
<\/div>\n
Furthermore, maternity pay received from Bituach Leumi is treated as earnings for these purposes.<\/div>\n
<\/div>\n
4. If you were required to file a tax return for 2013, you did so on time.<\/div>\n
<\/div>\n
5. The claim must be made by\u00a030th September 2014<\/strong>, so you need to move fast!<\/div>\n
<\/div>\n
6. Any employer filed their employer-summary form on time (form 126). If they did not, you will be asked to provide the authorities with form 106 in order for them to fully process your claim.<\/div>\n
<\/div>\n
How much is the grant?<\/u><\/strong><\/div>\n
<\/div>\n
The grant, per month of eligibility, is based on your average monthly earnings and can reach as high as NIS 705. The full table is as follows:<\/div>\n
<\/div>\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n
<\/div>\n<\/td>\n
\n
Monthly grant (NIS)<\/b><\/div>\n<\/td>\n<\/tr>\n
\n
Average monthly income (NIS)<\/b><\/div>\n<\/td>\n
\n
\u2013 woman (1 or 2 children)<\/b><\/div>\n
\u2013 single father responsible for 1 or 2 children<\/b><\/div>\n<\/td>\n
\n
\u2013 married father (1 or 2 children)<\/b><\/div>\n
\u2013 aged 55+ without children<\/b><\/div>\n<\/td>\n
\n
\u2013 woman (3+ children)<\/b><\/div>\n
\u2013 single father responsible for 3+ children<\/b><\/div>\n<\/td>\n
\n
\u2013 married father (3+ children)<\/b><\/div>\n<\/td>\n<\/tr>\n
\n
0-2,050<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n<\/tr>\n
\n
2,051<\/div>\n<\/td>\n
\n
120<\/div>\n<\/td>\n
\n
80<\/div>\n<\/td>\n
\n
180<\/div>\n<\/td>\n
\n
120<\/div>\n<\/td>\n<\/tr>\n
\n
2,500<\/div>\n<\/td>\n
\n
228<\/div>\n<\/td>\n
\n
152<\/div>\n<\/td>\n
\n
339<\/div>\n<\/td>\n
\n
226<\/div>\n<\/td>\n<\/tr>\n
\n
3,000<\/div>\n<\/td>\n
\n
350<\/div>\n<\/td>\n
\n
233<\/div>\n<\/td>\n
\n
515<\/div>\n<\/td>\n
\n
343<\/div>\n<\/td>\n<\/tr>\n
\n
3,570-4,760<\/div>\n<\/td>\n
\n
495<\/div>\n<\/td>\n
\n
330<\/div>\n<\/td>\n
\n
720<\/div>\n<\/td>\n
\n
480<\/div>\n<\/td>\n<\/tr>\n
\n
5,000<\/div>\n<\/td>\n
\n
413<\/div>\n<\/td>\n
\n
275<\/div>\n<\/td>\n
\n
636<\/div>\n<\/td>\n
\n
424<\/div>\n<\/td>\n<\/tr>\n
\n
5,500<\/div>\n<\/td>\n
\n
240<\/div>\n<\/td>\n
\n
160<\/div>\n<\/td>\n
\n
459<\/div>\n<\/td>\n
\n
306<\/div>\n<\/td>\n<\/tr>\n
\n
6,108<\/div>\n<\/td>\n
\n
30<\/div>\n<\/td>\n
\n
20<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n<\/tr>\n
\n
6,109+<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n<\/tr>\n
\n
6,716<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
30<\/div>\n<\/td>\n
\n
20<\/div>\n<\/td>\n<\/tr>\n
\n
6,717+<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
N\/A<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n
\n
0<\/div>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
The amounts here are based on the 1st June 2013 figures, and should have increased with inflation on 1st June 2014 \u2013 I have yet to see the revised figures.<\/em><\/div>\n
In certain circumstances, the amount due to you will be reduced. This is the case if you are in receipt of one (or more) of the following:<\/div>\n
<\/div>\n
1. Pension income, excluding disability or survivor pensions.<\/div>\n
\n

2. Bituach Leumi grant for work or other accident.<\/p>\n

Similarly, your spouse\u2019s income could reduce your grant.<\/p>\n<\/div>\n

<\/div>\n
A simulator (Hebrew only) has been provided by the tax authorities\u00a0here<\/a>. It\u2019s worth having a look at if you think your claim is borderline.<\/div>\n
<\/div>\n
How to make the claim<\/u><\/strong><\/div>\n
<\/div>\n
The claim is made at a post office branch (and only there), and must be made in person. Be careful though: not all post offices are officially branches \u2013 check the\u00a0postal service website<\/a>\u00a0before setting off.<\/div>\n
<\/div>\n
You need to take with you your ID card (Teudat Zehut) and a cheque (of formal notification of account details from the bank).<\/div>\n
<\/div>\n
The clerk will hand you a form on which you state:<\/div>\n