How are pensions taxed under the United Kingdom-Israel tax treaty?
Under the United Kingdom-Israel tax treaty, private pensions are generally taxable only in the country of residence — meaning no withholding tax applies at source (0%). This is favorable for retirees who have moved between the two countries, as their pension income will not be subject to double taxation. Government pensions may have different rules under a separate treaty article. This 0% rate compares to a median of 0% across United Kingdom's 54 active treaty partners, and 0% across Israel's 24 active partners.
Network Comparison
United Kingdom
Rank 27 of 54 active treaties (lowest rate = #1)
Lower rates with: Hungary (0%), Indonesia (0%), Ireland (0%)
Higher rates with: India (0%), Italy (0%), Japan (0%)
Israel
Rank 8 of 24 active treaties (lowest rate = #1)
Lower rates with: Czech Republic (0%), Germany (0%), France (0%)
Higher rates with: Greece (0%), Hungary (0%), India (0%)