Trump’s Big Beautiful Bill – how it impacts you

If you’re planning to purchase property in Israel, you may have heard about the new 1% remittance tax on certain international money transfers starting January 1, 2026. I want to reassure you that IsraTransfer customers will not be affected. 

The tax applies primarily to cash-based transfers—things like money orders, cashier’s checks, or cash sent through remittance offices, such as Western Union. Importantly, most digital payment methods, such as bank-to-bank wires and transfers funded by debit or credit cards, are not subject to this tax. As Ely Cole, a U.S.-registered CPA, explains: “Transfers made via licensed services or bank wires generally fall outside the US's new 1% cash transfer tax, as they aren’t considered cash-based remittances.” So, if you’re sending money online through a trusted service like IsraTransfer, this new tax should have no impact on your property purchase fund transfers. 

Buying real estate in Israel is a major financial decision that requires careful planning, especially when it comes to transferring funds internationally. Ensuring your money moves securely and efficiently, without unexpected fees or delays, is an important part of the process. Many US buyers face challenges navigating the complexities of cross-border payments, including currency exchange and regulatory requirements, which can impact timing and costs. Having a clear understanding of these factors can help make the transaction smoother and more predictable. 

As IsraTransfer's CCO Daniel Eisenberg highlights: "I would always recommend using an Israeli based foreign currency provider. Not only does this help you avoid the new tax, but they typically offer faster and more efficient transfers, as they are already familiar with the local banking system and regulations. They also tend to provide greater transparency regarding fees and exchange rates, so you know exactly what to expect. Importantly, their local presence means you have access to support teams who understand the market and can help address any issues quickly, ensuring your transaction proceeds smoothly and reliably. "

If you have questions or want to discuss the best way to handle your money transfers for your Israeli property purchase, please don’t hesitate to reach out. We’re here to help you move forward with confidence.