The Tax Authority is distributing compensation to reservists: how to apply for a grant

Good news for the self-employed in Israel: starting today, business owners serving in the reserves can submit an application for a grant due to indirect damage caused by reserve duty for the months of May-June 2026. Applications can be submitted online via the Tax Authority website.

Submission of applications will be possible until December 31, 2026, and payment will be made as soon as possible, no later than 14 days from the date of eligibility confirmation. For applications requiring an in-depth review by the Tax Authority and the Assistance Fund, the grant amount will be determined within three months from the date of submission, except for exceptional cases requiring further investigation or completion of documents, where the review period may be extended. National Insurance Institute benefits received for the eligibility period will not be deducted from the grant amount.

Eligible for the grant are self-employed individuals who served more than 21 consecutive days during 2026 under a call-up order for any purpose, covering the period from the beginning of reserve duty through the entire eligibility period. A reservist who performed several periods of reserve duty of 21 days or more with breaks will receive a grant for each period of service separately.

In addition, reservists who are not eligible under the conditions mentioned above will be eligible if they served in the reserves for at least 30 non-consecutive days during a two-month period ending in an even-numbered month.

The eligibility period consists of the days of active reserve duty, plus a compensation period calculated in proportion to the number of service days. For each day of reserve duty, an addition of 1.5 days will be granted, subject to the cap on eligibility days set according to the reserve service scale. For eligibility inquiries and further information, one can contact the dedicated call center for the reservist track.