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What is the dividend withholding rate between United Kingdom and Israel?

Under the United Kingdom-Israel tax treaty, the withholding rate on dividends is 15% for portfolio investors (general rate). A reduced rate of 10% applies when the beneficial owner is a company holding a qualifying ownership stake (typically 10% or more of voting stock). Note that the reduced rate requires the recipient to file the appropriate treaty benefit claim form before payment. This 15% rate compares to a median of 15% across United Kingdom's 54 active treaty partners, and 15% across Israel's 24 active partners.

Network Comparison

United Kingdom

Rank 31 of 54 active treaties (lowest rate = #1)

Lower rates with: Hungary (15%), Indonesia (15%), Ireland (15%)

Higher rates with: India (15%), Italy (15%), South Korea (15%)

Israel

Rank 12 of 24 active treaties (lowest rate = #1)

Lower rates with: Czech Republic (15%), Germany (15%), France (15%)

Higher rates with: Greece (15%), Hungary (15%), Italy (15%)

Sources

Data last reviewed: 2026-04-07

Important: Treaty rates require proper claim forms (e.g., IRS Form W-8BEN for U.S. treaties, HMRC DT-Individual for U.K. treaties, CRA Form NR301 for Canadian treaties) filed before payment. Limitation on Benefits (LOB) provisions may restrict eligibility. A 0% withholding rate does not mean no tax — the residence country may still tax the income. This is not tax advice.

Related Questions: United Kingdom - Israel