Inheritance Laws in Israel: The Only Guide You’ll Ever Need

What Is Succession Law in Israel?

Governing Law: The Succession Law of 1965

Israel’s inheritance rules are mainly based on the Succession Law of 1965, which is basically the bible for who gets what when someone passes away. It applies whether or not the person had a will—and yes, it’s just as complex as it sounds, but we’ll make it simple.

Scope and Jurisdiction of Israeli Family Courts

Here’s the deal: if someone lived in Israel or owned assets here, the Israeli family court or rabbinical court (yep, there are two!) can handle their estate. You get to choose which one, but once you file—there’s no switching.

Quick tip? Most people go for the civil court because it’s usually more predictable.

Succession by Will or by Law

Israel recognizes both succession by will (your choice) and succession by law (the government’s choice). If you don’t have a will, the law decides who inherits—and it might not be who you think.

We once worked with a family where an estranged sibling inherited half the estate because Dad never updated his will. Awkward.

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What Types of Wills Are Legally Valid in Israel?

There are four official types of wills in Israel. Yes—four. And they’re all legit as long as you follow the rules. Here’s how they break down:

1. Handwritten Will

Super personal, but risky. It must be fully written, dated, and signed in your own handwriting. If you leave out the date? It can be thrown out in court. We've seen it happen!

2. Will in Presence of Witnesses

This is the most common one. Two witnesses, present at the same time, must see you sign it—and sign it themselves. Bonus points if the witnesses aren’t future heirs (less chance of drama).

Tip: Get it notarized for extra strength.

3. Will Before an Authority

You can also make a will in front of a judge, registrar, or rabbi. It’s verbal or written—and recorded officially. Great for people who want the paperwork done properly without dealing with lawyers.

4. Oral Will Under Exceptional Circumstances

These are for real emergencies—like someone on their deathbed. But you need two witnesses, and they must write it down ASAP and file it with the court. It’s rarely accepted unless the situation is truly life or death.

These options give flexibility, but also leave room for mistakes. If you're unsure which will suits your situation, it's best to consult a professional inheritance lawyer in Israel who knows the system inside and out.

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How Are Assets Bequeathed in Israel—By Will or By Law?

Will-Based Distribution Rules

If there’s a will, it rules. Period. You can leave your yacht to your niece and your falafel stand to your dentist—just be clear and legal about it.

Legal Requirements for a Valid Will

To be valid, a will must:

• Be written clearly
  
• Include your signature
  
• Follow one of the four accepted formats
  
  

Mistakes like missing a date or improper witnessing? They’ll cause massive headaches for your heirs.

We once helped an oleh from South Africa who wrote his will in English—but forgot to translate it. The Israeli court almost tossed it out!

Common Challenges to Wills in Israel

Relatives can contest a will for reasons like:

• Undue influence (think: pressure from a family member)
  
• Lack of mental capacity
  
• Procedural mistakes
  
  

If you're making a will while living in Israel or planning your move, we highly recommend working with a local lawyer.

Check out our guide on buying property in Israel—because inheritance and ownership often go hand in hand.

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What Is the Order of Heirs When There Is No Will?

So, what happens if someone dies without a will? Israel’s inheritance law kicks in with a strict hierarchy of heirs—no arguments, no preferences.

Legal Hierarchy of Heirs

Here’s the order:

• Spouse
  
• Children
  
• Parents
  
• Siblings
  
  

Let’s say your great-uncle Yoel in Haifa forgot to make a will. His wife gets 50% (plus rights to shared property), and his kids split the rest. If there are no kids, his parents or siblings inherit. Clean, clear, and very unromantic.

Role of the State When No Legal Heirs Exist

If no legal heirs exist, the State of Israel becomes the heir. Seriously. Your entire estate could go to the government. So, write that will—even if it’s just to leave your hummus recipe to your cousin.

Differences for Spouses

A spouse inherits more or less depending on:

• Whether the children are shared
  
• If the deceased had separate property
  
• If they were still legally married (even if separated)
  
  

One oleh couple separated but never divorced. When he passed, she inherited everything. The new girlfriend? Nada.

What Are the Exact Proportions?

• Spouse: 50% (plus furniture and shared home)
  
• Children: Share the rest equally
  
• No kids? Then parents and siblings split the remainder
  
  

Need help figuring out inheritance logistics for property? Check our guide on buying land in Israel.

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What Is a Valid Distribution Agreement Among Heirs?

Sometimes, even when the law says who gets what, heirs agree to shake things up. That’s where a distribution agreement comes in.

Requirements for Enforceability

For the agreement to be valid:

• All heirs must agree in writing
  
• It must be signed and submitted to court
  
• No one can be pressured into it
  
  

Without that? It’s just a family WhatsApp chat—and we know how messy those can get.

Flexibility in Division If All Heirs Agree

The beauty of Israeli law is that it allows flexibility—if you all get along. We once saw three siblings agree to give the family flat to the youngest sister (who had nowhere else to live) while the others took cash.

They hugged in court. No dry eyes.

Scenarios Where Agreements May Be Challenged

Even a signed agreement can be overturned if:

• One heir claims they were misled
  
• There was coercion
  
• The person lacked mental capacity when signing
  
  

Moral of the story? Get a lawyer and do it by the book.

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What Is the “Heir-After-Heir” Rule and How Does It Work?

This one’s a bit of a legal mouthful, but actually pretty useful.

Definition and Legal Implications

The “heir-after-heir” rule lets you decide who inherits after your first heir. Think of it like saying: “My wife gets everything, but if she passes too, it goes to our daughter.”

It’s common in wills for parents worried about remarriage or messy family drama.

Funny story—we knew a guy who left everything to his cat (yes, really), but wrote in his will that when the cat dies, it all goes to his niece. Spoiler: the niece ended up inheriting five years later and named her dog after him.

Only in Israel.

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What Is a Probate Order and What Types Exist?

You can’t inherit in Israel without paperwork. Period. That paperwork? It’s called a probate order (or inheritance order, if there’s no will). It’s how the court gives the official “OK” to distribute the estate.

Tzav Kiyum Tzava – Probate Order for Wills

If there’s a will, you apply for a Tzav Kiyum Tzava. This verifies the will is valid and allows you to carry it out. It’s basically your golden ticket to access bank accounts, real estate, and more.

Tzav Yerusha – Inheritance Order When No Will Exists

No will? You’ll need a Tzav Yerusha instead. This distributes assets according to the legal hierarchy of heirs we talked about earlier.

How to Apply for Probate Orders

• File online or with the Registrar of Inheritance Affairs
  
• Include death certificate, ID copies, the will (if any), and an affidavit
  
• Pay a small fee
  
  

Pro tip: Get a local lawyer if you're applying from abroad or have complex property. Also read our guide on sending money to Israel for transferring inherited funds internationally.

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What Are the Obligations on the Estate Before Distribution?

Before anyone gets their slice of the pie, the estate must pay its debts. This is non-negotiable.

Settling Debts and Taxes

All outstanding debts, loans, utility bills, and property taxes must be cleared. Think of it as tying up loose ends. The estate can’t be divided until this is done.

Executor Duties and Timelines

The executor (named in the will or appointed by court) is in charge of:

• Paying debts
  
• Handling tax obligations
  
• Distributing assets fairly
  
  

Usually, it takes 6–12 months—though we’ve seen longer for complex estates.

Own property? Our blog on property tax in Israel is a must-read to avoid surprises.

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What Are the Tax Implications for Inheriting in Israel?

Good news! There’s no inheritance tax in Israel. None. Zero. Zilch. But hold the champagne...

Capital Gains Tax for Foreign Heirs

If you inherit property and sell it, you may owe capital gains tax—especially if you’re not a resident. The tax is based on the increase in property value since purchase.

Here’s a tip:

• Get a valuation done as close to the inheritance date as possible
  
• Keep all records of sale and ownership
  
  

Foreign olim often inherit and don’t realize the capital gains tax hits when selling. If that’s you, our post on investing in Israeli real estate gives you the full breakdown.

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What Are the Steps to Transfer Inherited Property to Your Name?

Inheriting a property in Israel? It's not automatic. You need to transfer ownership through official channels.

Step-by-Step Guide:

1. Apply for a Probate or Inheritance Order
   This is your legal proof of entitlement. You can't do anything without it.
   
   
2. Prepare Legal Documents
   You'll need:
   

• Death certificate
  
• Probate order
  
• ID/passports of heirs
  
• Property ownership documents
  
  

3. Register the Property
   Head to the Israel Land Registry (Tabu) to register the change.
   
   

Tip: If you're abroad, appoint a local lawyer or family member with power of attorney.

This guide pairs well with our resource on buying real estate in Israel—even inherited property needs to follow the rules!

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When Is Inheritance by Lifetime Agreement or Gift Not Valid?

You can't just say, "I gave this apartment to my cousin before I died." It doesn’t work like that.

Legal Nullification of Non-Testamentary Transfers

If the transfer wasn’t:

• In a written will
  
• Done via an official legal agreement
  
• Registered properly
  
  

...then it might be nullified. Especially if other heirs dispute it.

Why Wills Matter More Than Verbal Agreements

We've seen olim lose properties they believed were "gifted" to them—just because the agreement wasn’t legal. Oral promises don’t stand in court.

Moral of the story? Protect yourself with a valid will and legal documentation. Always.

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Wrapping Up: Why You Need to Understand Inheritance Laws in Israel

Inheritance laws in Israel are complex, but totally manageable with the right info. From wills to probate, knowing your rights—and acting early—can save huge headaches. Whether you're making Aliyah or already living here, planning ahead is the best gift you can give your family.

Check out more tips on our homepage.