What Is Arnona?
ארנונה (Arnona) is Israel's municipal property tax, charged on all residential and commercial properties. Unlike property taxes in many other countries which are paid by the owner, in Israel the occupant pays arnona - meaning renters pay it, not just homeowners. If you are renting an apartment, you will receive an arnona bill directly from your municipality.
Arnona is calculated based on the size of your apartment (in square meters) and the zone within your city. Rates vary significantly between municipalities: Tel Aviv arnona is considerably higher than Beer Sheva, for example. A typical 70 sqm apartment in Tel Aviv might cost 5,000–9,000 NIS per year in arnona, while the same size apartment in a peripheral city might cost 2,500–4,000 NIS.
How big is the arnona discount for olim?
New olim are entitled to a substantial arnona discount for one 12-month period, which must be used within the first 24 months from your aliyah date. The discount range is:
- 50% to 90% reduction on your arnona bill, depending on your municipality and family status
- Most municipalities offer 90% off for single adults and small families
- Larger families may receive different percentages - check with your specific city office
The discount applies to one residential property at a time. If you move during the 12-month discount period, you apply the discount to your new address - it travels with you, not with the property.
Important: You have 24 months from your aliyah date to start using the discount, but once activated, the clock runs for exactly 12 months. Many olim forget to claim this in year two - do not let it expire unused.
How do you apply for the arnona discount?
The application process takes place at your city's arnona department (not a national office). Here is what to do:
- When: Apply as soon as you have a signed rental contract or own a property. You can apply before you receive your first bill.
- Where: The arnona department of your municipality. This is usually part of the "Misrad HaIr" (city hall) or a dedicated property tax office. Most cities have English-speaking staff or can arrange assistance.
- How: Walk in, or in some cities apply online through the municipality's resident portal.
Which documents do you need to apply?
Bring all of the following to your arnona office visit:
- Teudat Oleh - your immigration certificate showing your aliyah date
- Teudat Zehut - your Israeli ID card
- Rental contract (hozeh schirut) - signed by you and your landlord, showing your current address
- Your arnona account number - found on any arnona bill you have received, or you can request it when you arrive at the office
Some municipalities may also ask for proof of residency (such as a utility bill) or your bank account details if they issue refunds for already-paid arnona.
When should you start your discount year?
Because the discount applies to a 12-month window of your choice within your first 24 months, you have some flexibility. Many olim activate it immediately upon arriving, which makes sense if you are renting from day one. However, if you spend your first few months in an absorption center (merkaz klita) - where arnona is typically included in your center fees - you can delay activating the discount until you move into a private apartment.
The סל קליטה (Sal Klita) and the arnona discount are separate benefits and can overlap. You can receive Sal Klita payments and the arnona discount simultaneously - they do not affect each other.
Arnona is Israel's municipal property tax, and unlike in many countries it is paid by the occupant, so renters get their own bill, not just owners. New olim are entitled to an arnona discount of 50% to 90% off for one 12-month period, which must be used within the first 24 months from your aliyah date. Most municipalities offer 90% off for single adults and small families. Apply at your city's arnona department (not a national office) as soon as you have a signed rental contract, bringing your teudat oleh, teudat zehut, rental contract, and arnona account number. The discount applies to one residential property at a time and travels with you if you move during the 12-month window. It is separate from Sal Klita and the two can be received at the same time.
In Israel the occupant pays arnona, which means renters pay it, not just homeowners. This is different from property taxes in many other countries, where the owner pays. If you are renting an apartment, you will receive an arnona bill directly from your municipality. In the US, by contrast, property tax is paid by the owner and embedded in the mortgage via escrow, so renters never see a direct bill. UK council tax is more similar to arnona, since occupants including renters pay it directly to the local council.
New olim are entitled to a 50% to 90% reduction on their arnona bill, depending on the municipality and family status. Most municipalities offer 90% off for single adults and small families. Larger families may receive different percentages, so check with your specific city office. The discount covers one 12-month period and applies to one residential property at a time.
The discount applies to one 12-month period, which must be used within the first 24 months from your aliyah date. You have 24 months to start using it, but once activated the clock runs for exactly 12 months. Many olim forget to claim this in year two, so do not let it expire unused.
You apply at your city's arnona department, not a national office. This is usually part of the Misrad HaIr (city hall) or a dedicated property tax office, and most cities have English-speaking staff or can arrange assistance. You can walk in, or in some cities apply online through the municipality's resident portal. Apply as soon as you have a signed rental contract or own a property; you can apply before you receive your first bill.
Bring your teudat oleh (immigration certificate showing your aliyah date), your teudat zehut (Israeli ID card), your signed rental contract (hozeh schirut) showing your current address, and your arnona account number, which you can find on any arnona bill or request at the office. Some municipalities may also ask for proof of residency such as a utility bill, or your bank account details if they issue refunds for already-paid arnona.
The discount travels with you, not with the property. If you move during the 12-month discount period, you apply the discount to your new address. It applies to one residential property at a time.
Because the discount covers a 12-month window of your choice within your first 24 months, you have some flexibility. Many olim activate it immediately on arrival, which makes sense if you are renting from day one. However, if you spend your first few months in an absorption center (merkaz klita), where arnona is typically included in your center fees, you can delay activating the discount until you move into a private apartment.
Yes. Sal Klita and the arnona discount are separate benefits and can overlap. You can receive Sal Klita payments and the arnona discount simultaneously, and they do not affect each other.
