Image by Getty Images

Palestinian Authority President Mahmoud Abbas said on Sunday Israel had released frozen tax revenues to the Authority but that he had ordered the funds to be returned because money had been deducted to cover debts to Israeli utility companies.

Israel started withholding around $130 million a month in tax and customs revenues in December. The move came after the Palestinians announced that they were joining the International Criminal Court (ICC), a move finalized on April 1.

Under international pressure, Israel agreed last week to resume the transfers, saying it would immediately pay around $400 million – the withheld revenues minus the amount owed by the Palestinians for utilities supplied by Israel.

Forwarding the News

Thoughtful, balanced reporting from the Forward and around the web, bringing you updated news and analysis each day.

Terms(Required)

I agree to the Forward's Terms of Service and Privacy Policy

Email(Required)

Abbas said those deductions amounted to a third of the total sum that Israel owed the Palestinians.

“We are returning the money. Either they give it to us in full or we go to arbitration or to the court (ICC). We will not accept anything else,” he said in a speech.

A spokesman for Israeli Prime Minister Benjamin Netanyahu had no immediate comment.

In February, Israel’s state-owned electric company briefly cut power to several Palestinian cities in the occupied West Bank to press for payment of what it said was $492 million owed by the Palestinian government.

Palestinians in the West Bank, territory Israel captured in the 1967 Middle East War, are largely dependent on electricity supplied by Israel Electric Corp.

The Forward is free to read, but it isn’t free to produce

I hope you appreciated this article. Before you go, I’d like to ask you to please support the Forward.

Now more than ever, American Jews need independent news they can trust, with reporting driven by truth, not ideology. We serve you, not any ideological agenda.

At a time when other newsrooms are closing or cutting back, the Forward has removed its paywall and invested additional resources to report on the ground from Israel and around the U.S. on the impact of the war, rising antisemitism and polarized discourse.

Readers like you make it all possible. Support our work by becoming a Forward Member and connect with our journalism and your community.

This is a great time to support independent Jewish journalism you rely on. Make a gift today!

—  Rachel Fishman Feddersen, Publisher and CEO

Support our mission to tell the Jewish story fully and fairly.

$90 $180

$360

Other amount