The importance of knowing the exact date for the start of the program
- Buying an apartment in Israel
- Improvement Levy
There is paramount importance as to the exact date on which the charge for the improvement levy was born. This important date is referred to in law as the “beginning of a program.”
The start of an important plan in real estate sales transactions, since until that date the charge of an improvement levy will apply to the seller, and from that date onwards will apply to the buyer.
Therefore, anyone who wants to sell his apartment and wants to know whether he will be charged an improvement levy due to its sale should check in advance whether the date of ‘beginning of the program’ has already arrived.
It has often happened to me that this date occurred a few days after the signing of the contract and that the parties hastened the negotiations to advance the signing of the contract before the formation of the charge for the improvement levy.
And if we have already mentioned the importance of the date of ‘commencement of a plan’, I will add that this date also determines the matter of the obligation to pay linkage differences under section 9 of the Third Schedule, as well as the determination of whether the owner is entitled to an exemption.