Duty to declare the execution of a real estate transaction
- Buying an apartment in Israel
The seller and the buyer must by law report the transaction to the real estate tax authorities within 30 days from the date of the transaction; from the date of signing the sale agreement.
The declaration must include the details of the transaction, except for exceptions as stated in the real estate tax regulations regarding online reporting, including, of course, the details of the parties to the transaction, the date of signing the contract and the consideration or ‘price of the apartment’.
The parties will then make the calculation of the capital gains tax and the purchase tax, as well as the discounts or exemptions to which the parties are entitled.
The buyer must note that he must indicate how the payments are made on account of the consideration, in the framework of the new law to reduce the use of cash.
The statements of the parties to the transaction may be submitted separately or jointly, at the will of the parties.