West Bank Settlement Residents Face Unexpected Land Registration Fees Based on Current Land Values
Residents of the West Bank settlement Tzofim in Samaria were recently surprised by a demand to pay approximately 5% of their land's current market value to register their properties in the land registry. Established about 30 years ago near the security fence and central Israel, land prices in Tzofim have risen significantly, resulting in unusually high fees compared to taxation within Israel's recognized borders. Estimates suggest payments ranging from 50,000 to 90,000 shekels per housing unit, with one family receiving a bill of about 88,000 shekels for a 270-square-meter plot.
Property registration in Judea and Samaria is managed by the Civil Administration, and Tzofim is among settlements where registration follows Jordanian law. Due to restrictions on private land purchases in the West Bank, land acquisitions are often made by companies registered there, which also handle development and property registration. In Tzofim's case, the company Lider, owned by Lev Leviev, led land purchases and development but has faced legal troubles related to land fraud.
Local attorney and resident Paul Golonovski explained that the timing of the payment demands stems from bureaucratic and political factors beyond residents' control. He emphasized the need to reconsider this policy, noting that land prices have soared to about 1.8 million shekels for 250 square meters. Many residents, including pensioners and young couples, have declared they will not pay these fees.
Taxation in the West Bank is complex and differs from Israel proper. While purchase and capital gains taxes are similar, registration fees and development levies are significantly higher in the West Bank. For example, development levies are not charged within Israel when local committees approve plans that increase property value, but in the West Bank, owners may pay up to 50% of the increase in value, reflecting the application of Jordanian law and the unique legal status of the area.
