Good News: Tourist VAT Exemption Staying in Israel for 2025

Planning a trip to Israel in 2025? Here’s some welcome news for your travel budget! A new Treasury report confirms that the tourist VAT exemption will continue throughout 2025, keeping more money in your pocket during your visit.

The report reveals that canceling the tourist VAT exemption would have generated relatively low revenue in 2025, which is great news for international visitors like you. This means you’ll continue enjoying tax-free shopping on tourist services during your Israel adventure.

Even better news if you’re planning to visit Eilat! The southern resort city maintains its special VAT-free status – actually Israel’s second-largest tax benefit. This makes Eilat an even more attractive destination for budget-conscious travelers, especially for shopping, dining, and accommodation.

What does this mean for your trip? You’ll save money on tourist services throughout Israel, with extra savings in Eilat. When booking tours or activities with companies like IsraStar Tours, ask about how these exemptions apply to your specific itinerary to maximize your savings.