Wills, trusts & estates

We can assist you to recognize  and protect your inheritance rights from the very initial stages of the matter, through court orders to assert your rights, distribution of assets among heirs taxation, banking and all other related issues.

Israeli law stipulates two ways to bequeath assets: by will or by law. If the deceased has left a will in Israel or in any other country, the inheritance will be distributed to the heirs as stipulated in the will. If the deceased hasn’t left a will, the heirs will be those stipulated by law, according to a clearly-designated order of inheritance.

Israel’s inheritance law is primarily governed by the Inheritance Law of 1965, which applies to both Jewish and non-Jewish citizens of the country. The law is based on a combination of civil law principles and Jewish religious law (Halacha). The guiding principle of Israeli inheritance law is that property should be distributed among the deceased’s closest relatives, with a preference for the spouse and children.

In the case of foreign citizens or residents with assets in Israel or Israeli citizens with assets abroad, inheritance matters can become more complicated due to the interplay of different legal systems. In general, Israeli courts will recognize and enforce valid foreign wills, provided that they do not contradict Israeli public policy or mandatory inheritance rules. Conversely, foreign courts may have jurisdiction over certain aspects of an Israeli estate, depending on the location of the assets and the citizenship or residency of the deceased and their heirs.

Israeli inheritance laws govern the distribution of a deceased’s property located in Israel. The law pertains to distribution of assets in the absence of a legally valid Will (“intestate”) as well as the rules applicable to preparing and executing a Will.

In the absence of a legally binding Will, a deceased’s spouse would receive all movable property (including a car) owned by the deceased at the time of his or her death and, with respect to the remaining assets: (a) if the deceased had children, then the spouse would receive half of the remainder and the children or their descendants would receive the balance (equal shares to each of the children or their descendants) or (b) if the deceased had no children but left a surviving spouse and siblings, then the spouse receives two-thirds of the remainder with the balance divided among the siblings.

Outside of Israel, certain types of joint ownership will automatically convey the deceased’s share in the surviving joint owner regardless of intestate succession or provisions of a Will – in Israel that is generally NOT what happens. In Israel, the presumption is that each joint owner of an asset, such as a bank account or an apartment, owns a proportionate share of the asset and upon the death of one of the owners, that owner’s interest does NOT pass to the other joint owner(s) – it is necessary to get a Court order to transfer the interests of the deceased either according to the deceased’s Will or, if there is no Will, the rules of the intestacy as explained above. In the course of planning one’s estate it is important, therefore, to share with your lawyer, a thorough description of all assets held by the parties as well as the technical title so that the lawyer can advise how to structure the estate passing under the Will while taking into consideration assets they may pass outside of it.

Section 17(a) of the Inheritance Law provides that where an heir cannot otherwise be identified pursuant to the Law, the State of Israel shall inherit the estate.

Intestate Succession:

When a person dies without leaving a valid will (intestate), Israeli law prescribes the following order of inheritance:

Spouse: The surviving spouse is entitled to half of the estate if there are children or grandchildren and two-thirds if there are no children (but other relatives exist).

Children: The children of the deceased, including adopted children, inherit the remaining half of the estate (or one-third if there is no spouse). If a child predeceases the deceased, leaving behind their own children (the deceased’s grandchildren), the grandchildren take their parent’s share in equal parts.

Parents: If there is no spouse or children, the deceased’s parents inherit the entire estate.

Siblings: If there are no surviving parents, the siblings inherit the estate in equal shares.

Other relatives: In the absence of the above relatives, more distant relatives may inherit according to a specific order outlined in the law.

Testate Succession: Wills and Inheritance.

A valid will overrides the default rules of intestate succession, enabling the testator (the person making the will) to determine how their property should be distributed after their death. Israeli law recognizes several types of wills, including:

Handwritten wills: A will be written entirely by the testator in their own handwriting, dated, and signed.

Witnessed wills: A will signed by the testator in the presence of two witnesses who also sign the document.

Oral wills: In exceptional cases, such as the imminent danger of death, a person may declare their last wishes orally before two witnesses, who must then reduce the declaration to writing within 30 days.

It is highly recommended to seek lawyers in Israel when drafting a will to ensure that it complies with Israeli law and accurately reflects your intentions.

Preparing a will is a crucial step in ensuring that your assets and possessions are distributed according to your wishes after you pass away. In Israel, the process of preparing a will is governed by specific legal requirements that must be followed to ensure its validity. From appointing an executor to understanding the necessary steps involved, it is essential to navigate this process with care and precision. By discussing the importance of a will, the legal requirements, and the steps involved, this exploration aims to shed light on the intricacies of preparing a will in Israel, providing valuable insights for those seeking to protect their legacy and loved ones.

• Ensure a smooth distribution of assets

• Minimize tax liabilities

• Avoid legal disputes among beneficiaries

• Importance of planning ahead for the future

Creating a will is of paramount importance in ensuring the smooth distribution of assets and the fulfillment of one's final wishes in Israel. Estate planning offers numerous benefits, such as minimizing tax liabilities and avoiding legal disputes among beneficiaries. A lawyer plays a crucial role in preparing a will, as they possess the legal expertise to navigate complex inheritance laws and ensure that the document is legally binding and accurately reflects the testator's intentions.

One must adhere to specific legal requirements when preparing a will in Israel to ensure its validity and enforceability. In Israel, a will must be in writing and signed by the testator in the presence of at least two valid witnesses. These witnesses must also sign the will in the presence of the testator and each other. Failure to meet these requirements may result in the will being deemed invalid, leading to potential complications in the distribution of assets.

To ensure the proper execution and validity of a will in Israel, it is crucial to understand and comply with the legal requirements set forth by Israeli law. Understanding legal documentation and ensuring testamentary capacity are two fundamental aspects that must be considered when preparing a will. Here are some key points to keep in mind:

• Testamentary Capacity: Under Israeli law, the testator must have testamentary capacity, which means they must be of sound mind and at least 18 years old. It is essential to ensure that the testator fully understands the implications of creating a will and is not under any undue influence or coercion.

• Proper Execution: Israeli law requires the will to be in writing, signed by the testator, and witnessed by two adults who are present at the same time. The witnesses must also sign the will, attesting to the testator's signature and acknowledging the document's authenticity.

• Revocation and Amendment: It is essential to understand the legal process for revoking or amending a will. Israeli law allows for the revocation or amendment of a will through a subsequent will or by destroying the original will with the intention of revoking it.

• Legal Formalities: The will should comply with specific legal formalities, including proper language and terminology, to ensure its validity. Seeking legal advice can help ensure that the will meets all the necessary requirements.

• Inheritance Laws: Understanding the inheritance laws in Israel is crucial when preparing a will. These laws may dictate the distribution of assets if the will is found to be invalid or incomplete.

To begin the process of preparing a will in Israel, it is essential to gather all relevant information and documentation. This includes details about your assets, beneficiaries, and any specific wishes you may have regarding your estate. Understanding the probate process and inheritance laws in Israel is crucial to ensure that your will is valid and will be executed according to your intentions.Consulting with a legal professional can help guide you through these steps.

Selecting a suitable executor is a crucial decision when preparing a will in Israel. The executor is responsible for carrying out the wishes outlined in the will and ensuring that the estate is distributed according to the deceased's instructions. It is important to choose an executor who is trustworthy, reliable, and capable of handling the responsibilities that come with the role.Executor responsibilities in Israel include gathering and managing the deceased's assets, paying off any debts or taxes owed by the estate, and distributing the remaining assets to the beneficiaries. The executor must also handle any legal and administrative tasks, such as filing necessary documents with the court and providing an account of the estate's activities.  When selecting an executor, it is important to choose a trusted individual who will act in the best interests of the estate and its beneficiaries. This person should be organized, detail-oriented, and able to handle complex financial matters. It is also advisable to select someone who is familiar with Israeli inheritance laws and procedures to ensure a smooth and efficient administration of the estate.In some cases, individuals may choose to appoint a professional executor, such as a lawyer or a trust company, to handle the responsibilities. This can be especially beneficial if there are complex financial matters or family disputes involved. However, it is important to carefully consider the costs associated with hiring a professional executor. Ultimately, selecting an executor for your will is a decision that should not be taken lightly. It is important to carefully consider the responsibilities involved and choose a trusted individual who is capable of fulfilling them. Seeking professional advice and guidance can also help ensure that the executor is well-equipped to handle the complexities of the role.

When preparing a will in Israel, it is crucial to accurately identify and effectively distribute your assets. Proper estate planning ensures that your assets are distributed according to your wishes and in compliance with the inheritance laws of Israel. To successfully identify and distribute your assets, consider the following:

• Create an inventory: Compile a comprehensive list of all your assets, including real estate, bank accounts, investments, vehicles, and personal belongings. This will help ensure that no assets are overlooked during the distribution process.

• Determine ownership: Clearly establish the ownership of each asset, whether it is solely in your name or jointly owned with another individual. This will help determine the distribution rights and responsibilities concerning each asset.

• Consider tax implications: Take into account any tax obligations associated with the transfer of assets. Understanding the tax implications will enable you to make informed decisions when distributing your assets and minimize any potential tax liabilities for your beneficiaries.

• Seek professional guidance: Consulting with an experienced estate planning attorney or financial advisor can provide valuable insights and assistance in properly identifying and distributing your assets. They can help navigate the complex legal and tax landscape to ensure that your wishes are carried out effectively.

• Review and update regularly: Regularly review and update your will to reflect any changes in your assets or personal circumstances. This will help ensure that your will remains accurate and up to date, aligning with your current intentions.

Regularly reviewing and updating your will is essential to ensure that it accurately reflects your current wishes and circumstances. As time passes, your personal and financial situation may change, making it necessary to make appropriate amendments to your will. Failing to update and review your will regularly can have significant legal implications and may result in unintended consequences.Updating and reviewing your will is important for several reasons. Firstly, it allows you to add or remove beneficiaries based on changes in your relationships or personal circumstances. For example, if you have a falling out with a family member or if you remarry, you may want to update your will accordingly. Secondly, it enables you to account for any new assets or properties that you acquire over time. Without updating your will, these assets may be overlooked and not distributed according to your wishes. Additionally, reviewing your will regularly ensures that it remains in compliance with the current laws and regulations, as these may change over time. There are also legal implications associated with failing to update and review your will. Outdated or inaccurate information in your will can lead to disputes among your beneficiaries and may result in costly and time-consuming legal proceedings. By regularly reviewing and updating your will, you can minimize the risk of such disputes and ensure that your assets are distributed according to your wishes. To ensure that your will accurately reflects your current wishes and circumstances, it is recommended to review it at least once every few years or whenever a major life event occurs. Consulting with a qualified attorney specializing in estate planning can help guide you through the process and ensure that your will is up to date and legally valid.

If an individual does not have a will at the time of their death, it can have significant consequences for their estate. Without a will, the distribution of their assets will be determined by the legal process of intestacy. This can lead to complications, delays, potential disputes among family members, and potentially result in assets being distributed in a way that the deceased did not intend.It is therefore advisable to have a will in place to ensure one's wishes are carried out.

Including specific funeral arrangements in a will is a common practice, allowing individuals to express their wishes regarding burial or cremation. This can include specifying burial or cremation preferences, the type of service desired, and any other specific requests related to your funeral. However, it is equally important to discuss these wishes with loved ones to ensure they are aware and can fulfill them.

Yes, it is possible to change or update a will after it has been prepared. This allows individuals to modify their wishes and ensure that their estate is distributed according to their current preferences.

There are specific tax consequences related to wills in Israel that should be considered as part of estate planning (Note that in Israel there is no Inheritance tax, no Estate tax and no Gift tax). Understanding these implications can help individuals make informed decisions when preparing their wills.

Yes, it is possible to leave your assets to a non-family member in your will. This can include friends or charities. By specifying your wishes in your will, you can ensure that your assets are distributed according to your preferences.

Yes, it is possible to disinherit someone in a will. However, there may be legal requirements that need to be met in order to do so, such as providing a valid reason for disinheriting a family member. Disinheritance may have legal consequences and could potentially be challenged in court. It is advisable to seek legal advice and ensure that the necessary legal procedures are followed to minimize the risk of disputes and complications.

There are certain restrictions on the types of assets that can be included in a will. Real estate assets, such as properties and land, can typically be included in a will.Additionally, in today's digital age, it is important to consider including digital assets, such as online accounts and cryptocurrencies, in a will. These assets can hold significant value and should be addressed in order to ensure proper distribution and management upon the testator's death.

In conclusion, creating a will in Israel is of utmost importance as it ensures that your assets are distributed according to your wishes and saves your loved ones from potential disputes. By meeting the legal requirements and following the necessary steps, one can create a legally binding document. Appointing an executor is essential for ensuring the smooth execution of the will. This person will be responsible for carrying out the instructions outlined in the will and distributing the assets according to the deceased's wishes. Choosing a trustworthy and reliable executor is important to ensure that the process goes smoothly and that all assets are handled appropriately. Additionally, regularly updating and reviewing your will is essential to reflect any changes in your circumstances or preferences.It is imperative for individuals to take the necessary steps to prepare a will and secure their assets for the future. This not only provides peace of mind for the individual but also helps to avoid potential conflicts and disputes among family members after their passing. By taking these steps, you can have peace of mind knowing that your estate will be handled as per your intentions.

Israel’s guardianship law will determine who will be appointed as guardian of minor children or incapacitated individuals. The Guardian General will often take the totality of circumstances into consideration in determining who is best suited to be appointed guardian but in the absence of a surviving parent will give preference to immediate relatives (e.g. parents’ siblings, parents’ parents, aunts and uncles). If a parent provides in a Will for the appointment of a specific guardian, the Guardian General and the courts will generally respect that provision subject to overriding concerns as reflected in the law. It is, therefore, highly recommended that one provide for appointment of guardianship of minors in a Will and that the appointment be made within the parameters of the law.

As of January 1, 2004, Israel abolished its inheritance tax. This means that heirs do not have to pay any taxes on the property they inherit from a deceased person. However, it is important to note that other taxes, such as capital gains tax, may still apply when disposing of inherited assets.

From time to time the tax authorities suggest that they are considering reintroducing the tax. Until such time as the tax is re-implemented, tax considerations which may have been considered in developing a Will abroad, may not be applicable regarding Israeli assets (although they may still be subject to foreign inheritance taxes) and, therefore, design of inheritance schemes may have more flexibility than did their foreign counterparts. It is, however, important to take into consideration the tax regimes to which the individual may be subject (e.g. U.S. inheritance tax for U.S. citizens).

A Will generally needs to be processed (e.g. probated) in every jurisdiction in which assets are located (e.g. if there is one Will and assets in both Israel and the U.S., probate will need to be done in both countries).

Particularly if minors are involved, immediately or potentially, a properly executed Will, that we recommend be drafted by an experienced attorney, may very well include the establishment of trusts that will control the use of assets which would otherwise be directly bequeathed to minors.