How do you calculate a tax that is set in shekels per unit?
These are types of indirect taxes that may be included in the price of certain products.
Excise applies among other things to fuels according to rules and rates. Customs and purchase tax may apply to imports or to certain products. Sometimes the rate is based on quantity and not on a percentage of the price. The consumer price can include several components, and they should not be added again if they are already included. When buying from abroad you should also check shipping, fees and updated import rules; exemption thresholds are not the same for every product and every tax.
Fictitious example: 10 units of fuel multiplied by an excise of 2 ₪ per unit = 20 ₪ excise. This is not a current fuel rate.
How do you calculate a tax that is set in shekels per unit?
A fictional shop buys an imported product for 100 money units. In this example, an import charge adds 12, bringing the cost to 112 before transport and other expenses. Transport of 8 raises it to 120. That charge is not necessarily the entire tax bill. Customs relates to imports; excise applies to particular goods. Separate the product price, transport and different taxes when reading a bill. These figures illustrate arithmetic, not actual tax rules.
Concepts that help you compare
VAT: the price before and after
Value added tax is a tax on transactions that are liable for it. In the consumer price it is usually already included. At a rate of 18%, the VAT amount is 18% of the price before tax. Therefore it is added by multiplying by 1.18. To extract the price before VAT from a total price, divide by 1.18. Do not subtract 18% from the total price: the calculation base is different. There are exemptions, a zero rate and special rules; the calculator is an exercise for a transaction liable at the selected rate. The 18% rate applies from January 1, 2025; check the law at the time of the transaction.
Comparison example: 100 ₪ before VAT + 18 ₪ VAT = 118 ₪. Out of 118 ₪, the VAT component is 18 ₪, which is about 15.25% of the total price.
A tax is a compulsory payment collected by law and helps finance public activities and services. There are taxes on income, purchases, property and gains. There are also insurance fees and payments to the local authority. These are different mechanisms: there is no single percentage that applies to every purchase or every person. To understand a budget ask who pays, on which amount, to whom, when, and whether there is an exemption or relief. Taxes help fund, among other things, education, health, infrastructure and security; you can also discuss efficiency, fairness and how the budget is allocated.
Comparison example: If you received 100 ₪ as a gift and bought a product, do not assume every type of tax in the world applies to that 100 ₪. Each charge is assessed according to its own rules.