The museum's purpose is to explain the system of taxes in a visual and enjoyable way, and to provide knowledge within the realm of taxes.
The museum's collection is comprised of documents, certificates, photographs and other items on many subjects, which demonstrate to the visitor the close linkage between the activities of the tax authority and the daily life of the citizen.
In addition to the items displayed, the museum boasts a large collection of studies and visual material, including historical documents, certificates and photographs, publications of experts' committees and researches, which reflect the proceedings of the tax systems in the Land of Israel throughout the different periods, and are used for study and research purposes for scholars and for those who are interested in the realm.

The Museum was established in 1964 in the former Customs Administration building on Agron St. in Jerusalem, and was opened to the public on October 27, 1964. For more than 40 years the museum operated on Agron St. In 2008 it was decided to demolish the building and to transform it into a hotel.