Methodology
A transparent breakdown of how the RSU Tax Calculator estimates taxes for Israeli residents.
Key assumptions
- Section 102 plan uses 47% income tax at vest and 25% capital gains at sale.
- Non-102 plan uses 47% income tax at vest and 47% income tax at sale.
- Average 30-day price before vest is used as cost basis.
- No personal deductions, credits, or special tax treatments included.
Formula overview
- Total value at sale = shares × sale price.
- Cost basis = shares × 30-day average price.
- Vest income = cost basis.
- Capital gain = total value at sale − cost basis.
- Estimated tax = income tax on vest + capital tax on gain.
What is not included
- Payroll withholding differences by employer or trustee.
- Broker commissions, FX spreads, or local bank fees.
- Special tax reliefs, immigration incentives, or personal deductions.
- Alternative taxation under unique plan terms.