Israeli Tax Authority Distributes First 2025 Work Grant Payments to 130,000 Eligible Workers

The Israeli Tax Authority is transferring the first installment of the 2025 work grant, also known as the "negative income tax," to approximately 130,000 eligible recipients today. The total amount being disbursed in this phase is around 260 million shekels, directly deposited into recipients' bank accounts.

This grant targets low-income salaried employees and self-employed individuals who meet specific age, parental status, and income criteria. Eligibility includes workers aged 21 and over who are parents, as well as those aged 55 and above regardless of parental status, provided their income falls within defined thresholds. For example, a worker aged 21 or older with one or two children earning between 2,450 and 7,289 shekels monthly may qualify, while those with three or more children may qualify with incomes up to 8,020 shekels. Single parents have broader eligibility, with income ranges from 1,510 to 13,660 shekels monthly.

Applications for the grant are submitted online via the Tax Authority's website through a relatively simple process. However, eligibility is not automatic for all low-wage workers; recipients must meet income brackets and other conditions, such as not owning an investment property. Payments will be made in several installments throughout the year, with the first payment issued in mid-July.

The work grant aims to support low-income workers by supplementing their earnings based on family and income factors. The Tax Authority encourages eligible individuals to apply online to receive the benefit.