Israel Resumes Tax Payments to Palestinians

Netanyahu Cut Reimbursement in Statehood Tit-for-Tat Feud

By Reuters

Published March 25, 2013.
  • Print
  • Share Share

Israel said on Monday it would restart regular monthly tax transfers to the Palestinian Authority, restoring vital funding days after U.S. President Barack Obama called for confidence-building steps toward peace.

Israel began withholding the money - about $100 million in tax revenues it collects each month on behalf of the Authority - in November after President Mahmoud Abbas secured de facto U.N. recognition of Palestinian statehood.

The cut-off was a blow to Abbas who urgently needed the cash to pay public sector salaries at a time of growing financial strain. Officials had warned of possible unrest in the Israeli-occupied West Bank if wage arrears were not covered.

Under international pressure, Israel made a transfer in January and again in February, but said at the time decisions on whether to continue would be made on a month-by-month basis.

Israeli Prime Minister Benjamin Netanyahu’s office on Monday said he had instructed Finance Minister Yair Lapid “to resume the transfers”. A spokesman for Netanyahu said that meant regular monthly payments would be made from now on.

Obama made a three-day visit to Israel and the occupied West Bank last week and called for a resumption of peace negotiations that have been stalled since 2010.

The U.S. President said he wanted to see “steps that both Palestinians and Israelis can take to build trust and confidence upon which lasting peace will depend”.

Palestinians seek a state in the Gaza Strip and the West Bank with Arab East Jerusalem as its capital - territories Israel captured in the 1967 Arab-Israeli War.

Talks have stalled over the issue of Israel’s continued building of settlements for its citizens in the occupied West Bank.

Abbas’s Palestinian Authority exercises limited self rule in the West Bank under interim peace deals.


The Jewish Daily Forward welcomes reader comments in order to promote thoughtful discussion on issues of importance to the Jewish community. In the interest of maintaining a civil forum, The Jewish Daily Forwardrequires that all commenters be appropriately respectful toward our writers, other commenters and the subjects of the articles. Vigorous debate and reasoned critique are welcome; name-calling and personal invective are not. While we generally do not seek to edit or actively moderate comments, our spam filter prevents most links and certain key words from being posted and The Jewish Daily Forward reserves the right to remove comments for any reason.





Find us on Facebook!
  • The rose petals have settled, and Andi has made her (Jewish?) choice. We look back on the #Bachelorette finale:
  • "Despite the great pain and sadness surrounding a captured soldier, this should not shape the face of this particular conflict – not in making concessions and not in negotiations, not in sobering assessments of this operation’s achievements or the need to either retreat or move forward." Do you agree?
  • Why genocide is always wrong, period. And the fact that some are talking about it shows just how much damage the war in Gaza has already done.
  • Construction workers found a 75-year-old deli sign behind a closing Harlem bodega earlier this month. Should it be preserved?
  • "The painful irony in Israel’s current dilemma is that it has been here before." Read J.J. Goldberg's latest analysis of the conflict:
  • Law professor Dan Markel waited a shocking 19 minutes for an ambulance as he lay dying after being ambushed in his driveway. Read the stunning 911 transcript as neighbor pleaded for help.
  • Happy birthday to the Boy Who Lived! July 31 marks the day that Harry Potter — and his creator, J.K. Rowling — first entered the world. Harry is a loyal Gryffindorian, a matchless wizard, a native Parseltongue speaker, and…a Jew?
  • "Orwell would side with Israel for building a flourishing democracy, rather than Hamas, which imposed a floundering dictatorship. He would applaud the IDF, which warns civilians before bombing them in a justified war, not Hamas terrorists who cower behind their own civilians, target neighboring civilians, and planned to swarm civilian settlements on the Jewish New Year." Read Gil Troy's response to Daniel May's opinion piece:
  • "My dear Penelope, when you accuse Israel of committing 'genocide,' do you actually know what you are talking about?"
  • What's for #Shabbat dinner? Try Molly Yeh's coconut quinoa with dates and nuts. Recipe here:
  • Can animals suffer from PTSD?
  • Is anti-Zionism the new anti-Semitism?
  • "I thought I was the only Jew on a Harley Davidson, but I was wrong." — Gil Paul, member of the Hillel's Angels. http://jd.fo/g4cjH
  • “This is a dangerous region, even for people who don’t live there and say, merely express the mildest of concern about the humanitarian tragedy of civilians who have nothing to do with the warring factions, only to catch a rash of *** (bleeped) from everyone who went to your bar mitzvah! Statute of limitations! Look, a $50 savings bond does not buy you a lifetime of criticism.”
  • from-cache

Would you like to receive updates about new stories?




















We will not share your e-mail address or other personal information.

Already subscribed? Manage your subscription.