Income Tax Credit Points for a Non-Working Spouse (Right)

An employee whose spouse has no income is eligible for one income tax credit point if one of the partners is blind, has reached retirement age, or has a disability above 90%

The benefit is only granted to married couples and not for common-law marriages

The benefit is worth 2,616 NIS per year and 218 NIS per month (as of 2019).

To calculate tax credits up to and including 2016 - see Tax Points Calculator until 31.12.2016 on the Tax Authority website.

To calculate tax credits for 2017-2018 - see Tax Points Calculator for 2017-2018 on the Tax Authority website.

According to the Income Tax Ordinance (Section 37), someone who is employed whose spouse has no income is eligible for one income tax credit point if one of the partners is blind, has reached retirement age, or has disability above 90%.

The benefit is worth 2,616 NIS per year and 218 NIS per month (as of 2019).

Who is Eligible?

Israeli residents who have income tax deducted from their salary, are married to someone who has been proven to the tax assessor to be a dependent and meet one of the following criteria:
- They or their spouse has reached retirement age.
- They or their spouse is blind.
- They or their spouse have a determined medical disability of 185 days or more, in the amount of 100% from one disability or above 89% from multiple disabilities (weighted calculation) if the disability has been established in accordance with one of the following laws:

Tip

Any person who wishes to establish (general) medical disability from the National Insurance Institute without making a claim for a disability pension can apply to the Tax Authority and be examined by the Income Tax Exemption Medical Committee.
For example: A man who has suffered an illness that results in disability after reaching retirement age and can not submit a claim for disability pension due to his age, but wishes to receive Rights for People with Medical Disabilities that are not Contingent on Receiving a Disability Pension.

How to Claim It?

Applicants must fill out Form 101 and submit it to their employer before the end of the tax year (before the end of December).
Relevant documentation must be attached, such as: Certificate of Blindness/Visual Impairment or the minutes from the General Disability Medical Committee that established disability.
Those who are self-employed must fill out Form 1301 - Annual Report and attach the relevant documentation as explained above at the end of the tax year.
If the tax year has passed, the employee may submit a tax reimbursement request to the relevant tax assessor's office. Click here to locate tax assessor's offices according to location. Reimbursements may be received up to six years retroactively.

Please Note

Income tax credit points are only given to Israeli residents.
The income tax credit point for a non-working spouse is given in addition to the income tax credit points (2.25) granted to Israeli residents.
If the employee meets the criteria entitling additional tax credit points, they may combine all the tax credit points, in accordance with any one of the criteria are (unless otherwise stated). Details of any entitlements See: The Tax Credit Points Portal.
A married women who is unemployed is exempt from national insurance and health insurance payments if her husband is insured. For more information see:
- National Insurance Exemption for a Married or Common Law Woman who is Unemployed.
- Health Insurance Exemption for a Married or Common Law Woman who is Unemployed.

Government Agencies

The Israel Tax Authority

Laws and Regulations

Income Tax Ordinance - Section 37

Additional Publications

Tax Breaks for Employees - Tax Authority website.

Credits

Original translation performed by The Shira Pransky Project as part of a grant from The Fellowship Fund.

Introduction:

Forms