# Donation crowdfunding · Israel

Which platforms move the most of every shekel to Israeli nonprofits — and how Section 46 turns a donation into a 35% tax credit for the donor.

Israel's online giving runs on cards, with the homegrown Bit app — owned by Bank Hapoalim and now used by roughly 3.5 million Israelis across every bank — having become the near-universal way people move money to each other. For charitable campaigns, card is still the rail platforms settle on, but Bit and bank transfer are increasingly offered at checkout, and both deliver more of each shekel than card's percentage fees do.

The donor's headline benefit is Section 46 of the Income Tax Ordinance. A gift to a Section-46-approved "public institution" earns the individual donor a tax credit of 35% of the amount (companies offset at the corporate rate) — a credit that comes straight off the tax bill, not merely a deduction from income. To qualify, the recipient must hold the Section 46 approval granted by the Knesset Finance Committee and a certificate of proper management from the Registrar of Amutot.

Payments are overseen by the Bank of Israel; nonprofits (amutot) sit under the Israeli Corporations Authority and its Registrar of Amutot, with the Israel Tax Authority administering Section 46. Diaspora giving is unusually large here, so the leading platforms — IsraelGives, JGive and Jewcer among them — pair an Israeli Section 46 receipt with US 501(c)(3) receipting so donors can claim relief at home.

## Facts

|  |  |
| --- | --- |
| Currency | ILS |
| Regulators | Bank of Israel, Israeli Corporations Authority (Registrar of Amutot), Israel Tax Authority |
| Payment methods | card, bit, paypal, apple-pay, google-pay, bank-transfer |

## Platforms

1. **WhyDonate** — $98.35/$100 · Nonprofits — 0% platform fee, card + local rails
2. **GoGetFunding** — $92.80/$100 · Individual fundraisers running personal, medical, or emergency campaigns who prefer a fundraiser-paid platform fee over donor tipping, with broad international country availability.

## FAQ

### Which platforms work in Israel?

IsraelGives (FundMe), JGive and Jewcer are the established donation and crowdfunding platforms for Israeli causes. All support card payments and issue Section 46 tax receipts, and several add US 501(c)(3) receipting so diaspora donors can claim relief at home.

### Are donations tax-deductible in Israel?

Strictly it's a tax credit, not a deduction: a gift to a Section-46-approved institution earns an individual donor a credit of 35% of the amount (companies offset at the corporate rate). Annual donations must total at least ILS 207, and the credit is capped at 30% of taxable income or ILS 10,354,816, whichever is lower (2026).

### Will I be taxed on money I raise?

Israel has no gift tax or inheritance tax, so genuine gifts to an individual for a cause are generally untaxed. It changes if donors receive goods or services in return, or you are effectively trading — then it can be taxable income or VAT. Section 46 charities are exempt and can issue credit receipts.

### What's the cheapest way to receive donations here?

Card dominates, so processing fees are broadly similar across platforms. Bit and bank transfer are cheaper rails where a platform supports them, and for diaspora gifts it pays to watch cross-border card markups.
