Investment Apartments in Ramat Bet Shemesh and elsewhere
to become subject to CGT in 2013

In yet another attempt to stop the inexorable rise in housing prices, Finance Minister Yuval Steinitz has announced a number of changes to real estate taxes, the most important of which affects apartments in Ramat Bet Shemesh, namely that Betterment Tax (CGT, or Mas Shevah in Hebrew) exemptions on the sale of housing bought as an investment are to be abolished from 2013.

Hitherto, any one home could be sold once every four years and enjoy an exemption from capital gains tax on each sale. However, if an investor wishes to take advantage of this benefit, he will have to sell his investment property by the end of 2012.