Most people who inherit assets in Israel live outside the country. A grandparent owned an apartment in Tel Aviv. A parent held a bank account with Bank Hapoalim. A distant relative left shares in an Israeli company. The news arrives by phone or email, often at an already difficult moment, and within days comes the question no one is quite prepared for: how do you actually claim this from London, New York, or Sydney?
The process is more structured than most foreign heirs expect, and more manageable than the Israeli bureaucracy's reputation might suggest. Israel's Inheritance Law 5725-1965 sets out a clear legal pathway. With the right representation in place, the entire process can run without the heirs ever setting foot in Israel.
1. How Israeli Law Applies to Foreign Heirs
Israel's Inheritance Law 5725-1965 (*Hok HaYerusha*) governs all assets physically located in Israel, regardless of the deceased's citizenship, country of residence, or nationality at death. Under Section 135 of that law, Israeli courts and the Registrar of Inheritance Affairs have exclusive jurisdiction over Israeli-situated assets. No foreign court order, probate grant, or erbschein can substitute for an Israeli legal order when it comes to releasing those assets.
The practical consequence: even if you hold a US probate order, a UK Grant of Probate, or a French certificat d'hérédité confirming your status as an heir, Israeli banks and the Land Registry (*Tabu*) will not act on those documents alone. Each institution requires an Israeli-issued succession order or probate order before releasing funds, registering a property transfer, or moving shares.
Foreign legal documents are not useless, though. They serve as evidence within the Israeli application process. Where the deceased was habitually resident outside Israel, Section 137 of the Inheritance Law directs Israeli authorities to give weight to the inheritance law of the deceased's country of habitual residence when determining who qualifies as an heir. This matters most in intestate estates where the rules differ between countries.
2. Succession Order vs. Probate Order: Which Do You Need?
The type of order you need depends entirely on whether the deceased left a valid will.
If there was no will (*Tzav Yerusha* — Succession Order): An application is made to the Registrar for a succession order, which identifies the legal heirs under the intestacy rules in Chapter One of the Inheritance Law 5725-1965. The intestacy hierarchy runs: spouse and children first; in their absence, parents and siblings; then grandparents and their descendants. A surviving spouse's share depends on whether there are children — with children, the spouse takes the household contents plus either one-half of the estate or a set monetary allowance, whichever is greater.
If there was a will (*Kiyum Tzavaah* — Probate Order): An application asks the Registrar or court to validate the will and confirm it should be carried out. The will need not be an Israeli will. A will drafted in New York, London, or Melbourne can serve as the basis of a Kiyum Tzavaah application, provided it meets basic validity requirements. The standard test under Section 25 of the Inheritance Law is whether the will was valid under the law of the place where it was signed — so a will properly executed in Florida is generally accepted even if it does not follow Israeli formality requirements.
3. Documents Required from Abroad
Every inheritance application, whether for a succession order or a probate order, requires a core set of documents. Gathering these from abroad is usually the first bottleneck, so it pays to move on this immediately after the death.
- Death certificate: An official certified copy issued by the country where the death occurred. If the country is a member of the Hague Apostille Convention (which includes the US, UK, Canada, Australia, and most EU countries), the death certificate must carry an apostille stamp. If not a member, it must be legalized through the Israeli Embassy or consulate in that country.
- Proof of identity for all heirs: Certified copies of each heir's passport. In some cases, the Registrar also requires birth certificates showing the family relationship to the deceased.
- The will (if one exists): The original or a court-certified copy, with apostille, plus a sworn Hebrew translation.
- Prior court orders (if any): If a foreign probate process has already been completed, bring the resulting order with apostille and translation.
- Hebrew translations: All foreign-language documents need a sworn translation by a translator certified by the Israeli Ministry of Justice. Your Israeli attorney can arrange this in Israel once you send originals or apostilled copies.
4. Acting Through a Power of Attorney
Non-residents cannot file directly with the Registrar of Inheritance Affairs or represent themselves in Family Court proceedings. Every foreign heir needs a licensed Israeli attorney to act on their behalf, and the legal instrument that makes this possible is a Power of Attorney (*Yipui Koah*).
For inheritance purposes, the POA must:
- Be signed before a notary public in the heir's country of residence
- Carry an apostille (or be legalized through the Israeli Embassy if the country is not a Hague member)
- Be accompanied by a certified Hebrew translation
- Explicitly grant the authority to file inheritance applications, sign documents at the Land Registry, operate or close bank accounts on behalf of the heir, and receive and transfer funds — a general POA that omits any of these powers will create problems at specific institutions
Banks are particularly strict about POA scope. Bank Leumi, Bank Hapoalim, and Mizrahi Tefahot each have their own internal forms that a general POA must mirror. Your Israeli attorney will know which clauses are needed and can send you the exact language to include before you sign in front of the notary.
5. Releasing Inherited Assets: Property, Bank Accounts, and Securities
Once the Israeli succession or probate order is in hand, the work shifts from the court system to the individual institutions holding the assets. Each asset type involves different authorities and different steps.
Real Property
Inheriting an Israeli apartment or plot of land requires registering the transfer at the Land Registry (*Lishkat Rishes Mekarkein*, commonly called the Tabu). The process involves submitting a Form 7000 (inheritance registration form), the succession or probate order, a tax clearance certificate from the Israel Tax Authority confirming no capital gains or betterment tax liability attaches to the transfer, and identity documents for all heirs. There is no transfer fee charged for registration of an inheritance — the inheritance itself is tax-free — though professional fees for your attorney and a licensed surveyor (if the property description needs updating) apply. Once registered, the property is legally in the heirs' names and can be sold, rented, or otherwise dealt with.
Bank Accounts and Deposits
Each Israeli bank has its own inheritance department. Your attorney submits the succession order, the POA, and a bank-specific application form. The bank freezes the account on notification of death and runs a compliance review before releasing funds. For accounts with balances above NIS 50,000, banks require additional documentation to satisfy the Prohibition on Money Laundering Law 5760-2000 — typically a declaration of the source of the deceased's funds and confirmation of the heirs' identity. Wire transfers of the released funds to foreign accounts are processed through standard SWIFT channels and are subject to Israeli bank conversion rates.
Israeli Securities and Pension Assets
Shares held through the Tel Aviv Stock Exchange or a brokerage account follow a similar path to bank accounts: present the succession order to the brokerage, which then transfers or liquidates the holding per the heirs' instructions. Israeli pension funds (*kupot gemel*, *keren hishtalmut*, and pension policies) are governed partly by the Pension Supervision Law 5765-2005 and partly by the individual fund's terms. Named beneficiaries on pension contracts bypass the estate entirely, meaning the funds may pass outside the will and outside the succession order. Check whether the deceased named beneficiaries on any pension or life insurance policy before assuming those assets form part of the estate.
6. Tax and Reporting Obligations for Foreign Heirs
Israel abolished inheritance tax in 1981, and as of 2026 there is no estate tax, inheritance tax, or gift tax on assets received by inheritance. This applies equally to Israeli residents and foreign heirs. The transfer of title in inherited property does not trigger purchase tax (*mas rechisha*) either — Section 9(g) of the Real Estate Taxation Law 5723-1963 exempts inheritance transfers from purchase tax.
Where tax does arise is on future disposals. If you inherit an Israeli apartment and later sell it, capital gains tax (*mas shevach*) is calculated on the appreciation in value from the original purchase date of the deceased, not from the date of inheritance. The rate for non-resident individuals is a flat 25% on real gains (indexed for inflation). Before selling, apply to the Israel Tax Authority (*Rashut HaMisim*) for a tax clearance certificate — the Land Registry will not register the sale without it.
On the home-country side, many countries do impose their own inheritance or estate taxes. The US, for example, applies federal estate tax to US-citizen decedents' worldwide assets above the lifetime exemption threshold (currently USD 13.61 million per person for 2026). UK residents may face Inheritance Tax on Israeli assets if the deceased was UK-domiciled. Israel does not have a double taxation treaty specifically covering inheritance taxes with most countries, so cross-border tax planning before the estate is wound up is worthwhile.
7. Realistic Timeline: What to Expect at Each Stage
The most common frustration is not knowing what's normal. Here's how each stage typically plays out for an uncontested estate with a clear will or straightforward intestacy:
- Weeks 1–4: Engage an Israeli attorney, sign and apostille the POA, gather death certificate and identity documents, send originals by courier. Prepare Hebrew translations.
- Weeks 4–8: File the succession or probate order application with the Registrar of Inheritance Affairs (NIS 538 filing fee). Registrar publishes a statutory waiting period for objections — currently 14 days for most applications, though the Registrar may request additional documentation.
- Weeks 8–16: Registrar issues the succession or probate order. Your attorney receives the certified order and serves copies on all relevant institutions. Obtain tax clearances from the Israel Tax Authority.
- Weeks 16–24: Banks process fund releases (30 to 60 days per institution). Tabu registers property transfers. Brokerage accounts are transferred or liquidated.
- Weeks 24–28: Your attorney transfers proceeds to your foreign bank account by SWIFT wire. The estate is effectively closed.
Contested estates are a different story. If another heir challenges the will's validity, disputes the succession order, or claims additional assets, the matter moves to the Family Court (*Beit Mishpat LeMishpacha*) and timelines stretch to 12 to 24 months or longer, depending on complexity and the court's docket.
