Taxation: A Tale of Rival States
1st June 2026
Florida is probably going to end residential property tax (on first 250k of value, growing to 500k of value), thus making the state an even-more attractive place to live. DeSantis is cleverly proposing that new out-of-state purchasers will have to pay 5 years of property tax before they “graduate” into the tax-free category. I suspect that this actually will accelerate migration into Florida, as new buyers will want to get the clock started earlier rather than later. In short: invest now and reap benefits later.
Israel, a country run and populated by the world’s most brilliant fools, have taken exactly the opposite approach. The first 10 years of Israeli tax residency comes with zero include tax on foreign-source income (though every dime must be reported). AND if you move in before the end of 2026, you are tax exempt for the first $250k of Israeli income as well for 2 years (tapering off to zero).
But after that, Israel will tax you in full. And unlike many other countries, the Israelis are incredibly good at collecting whatever they think is due. Immigrants do not get away with the kinds of nonsense that immigrants to the United States do: quite the contrary.
So: move to Israel, and get seized – in the long run. Move to Florida, pay the entrance fee, and it is smooth sailing from there.
This is not a hypothetical tradeoff. I know a lot of people who choose between Florida and Israel. It is a common dilemma. Florida now has more Jews than the entire New York/NJ area! And I am quite sure that this trend will accelerate with DeSantis’ initiative.