Sign up now to receive our regular news briefs.

Amid EU Criticism, Israel Withholds Tax Revenue in Response to PA Debt

December 13, 2012 12:04 pm 0 comments

Israeli Finance Minister Yuval Steinitz. Photo: Beit Hashalom.

The Israeli Finance Ministry announced on Wednesday that 435 million shekels ($115 million) that were to be transferred to the Palestinian Authority (PA) in December would be used to compensate the Israel Electric Corporation for the more than 600 million shekels ($160 million) it is owed by the Palestinians.

The move comes a day after Foreign Minister Avigdor Lieberman said Israel would stop transferring tax revenues collected on behalf of the PA until at least March, in response to its statehood campaign at the United Nations last month, Israel Hayom reported.

In a statement on its website, the European Union insisted this week that Israel process its tax transfer to the Palestinians, because “Contractual obligations… regarding full, timely, predictable and transparent transfer of tax and custom revenues have to be respected.” At the same time, most EU countries—by voting in favor of “Palestine” as a nonmember observer state at the UN Nov. 29—approved a violation of the Palestinians’ contractual obligation to reaching a final status agreement with Israel through negotiations, according to the 1993 Oslo Accords.

Israel collects some $100 million a month in duties on behalf of the Palestinian Authority because the latter lacks its own facilities to handle overseas imports. The Hamas-controlled Gaza Strip is highly dependent on the Israeli grid because it lacks sufficient infrastructure to generate enough power on its own.

“The Palestinians can forget about getting even one cent in the coming four months, and in four months’ time we will decide how to proceed,” Foreign Minister Avigdor Lieberman said in a speech on Tuesday night. “Israel is not prepared to accept unilateral steps by the Palestinian side, and anyone who thinks they will extract concessions this way is wrong,” he said.

Left-wing Meretz party Member of Knesset Zahava Gal-On, however, said the tax funds “do not belong to the State of Israel but to the residents of the Palestinian Authority; the finance minister and the prime minister have overstepped their authority in a most egregious manner.”

Leave a Reply

Please note: comments may be published in the Algemeiner print edition. Comments written in all caps will be deleted.


Current day month ye@r *

More...

  • Features As Berlin Prices Rise, Israelis Turn East for German Real-Estate Bargains

    As Berlin Prices Rise, Israelis Turn East for German Real-Estate Bargains

    JNS.org – Sonnenallee, a street in Berlin’s Neukölln district, looks like it comes straight out of an Arab city — so much so that it goes by the nickname “Gaza Strip.” Kebab and bakery shops are advertised in Arabic; men sit in men-only coffee shops; and bridal shop windows showcase glittery, not-so-stylish gowns. But take a random turn, and you’ll find a swath of bars, burger joints, and Indian restaurants where hip Berliners announce that they have arrived to urban coolness. […]

    Read more →
  • Arts and Culture Israeli Actress Gal Gadot Slays in ‘Wonder Woman’ Trailer (VIDEO)

    Israeli Actress Gal Gadot Slays in ‘Wonder Woman’ Trailer (VIDEO)

    Israeli actress Gal Gadot engages in fierce action sequences in the new Wonder Woman trailer, which Warner Bros. premiered during the San Diego Comic-Con on Saturday. The nearly 3-minute trailer, the first to debut for the superhero film, shows scenes of Diana, princess of the Amazons, fighting alongside men in the battle against the world’s toughest enemies. The first shot of the video shows Wonder Woman discovering a man, Steve Trevor (played by actor Chris Pine), washed ashore. The clip then takes viewers to the all-female island where Wonder Woman was born. […]

    Read more →
  • Arts and Culture A Theatrical Look at Diplomacy and the Oslo Accords (REVIEW)

    A Theatrical Look at Diplomacy and the Oslo Accords (REVIEW)

    Is diplomacy worthwhile, even if the end result isn’t what we hoped for? That is the question, among many others, posed by the new play Oslo, by J.T. Rogers. Making its New York debut at Lincoln Center, the play examines the secret diplomatic process that led to the historic 1993 peace accords. The character of Shimon Peres makes an appearance onstage — and he, along with Yitzhak Rabin and Yasser Arafat, tower over the proceedings. But they mainly do so in absentia. Instead, […]

    Read more →
  • Spirituality/Tradition Sports Israeli Trailblazer Dean Kremer Brings Jewish Values to Nascent Pro Baseball Career

    Israeli Trailblazer Dean Kremer Brings Jewish Values to Nascent Pro Baseball Career

    JNS.org – Other than being part of the Los Angeles Dodgers organization, Sandy Koufax and Dean Kremer have something else in common: a respect for Jewish tradition. Koufax — who was recently ranked by ESPN as the best left-handed pitcher in Major League Baseball (MLB) history — decided not to pitch Game 1 of the 1965 World Series because the game fell on Yom Kippur. “I would do the same,” Kremer said in an interview. Last month, the 20-year-old Kremer became […]

    Read more →
  • Arts and Culture Lead Guitarist of British Rock Band Queen Asks Adam Lambert to Sing in Hebrew During Upcoming Israel Concert

    Lead Guitarist of British Rock Band Queen Asks Adam Lambert to Sing in Hebrew During Upcoming Israel Concert

    The famed lead guitarist of British rock band Queen, Brian May, encouraged Jewish singer-songwriter Adam Lambert to perform in Hebrew during their upcoming joint concert in Israel, an entertainment industry advocacy organization reported on Tuesday. During a recent interview with Israeli television personality Assi Azar, May was played a 2005 video of Lambert singing the popular song Shir L’Shalom, (Song for Peace). May was so impressed by Lambert’s singing of the Hebrew track that he told the American singer, “We have to do that. Let’s […]

    Read more →
  • Sports Kenyan Marathoner to Compete for Israel in Rio Olympics

    Kenyan Marathoner to Compete for Israel in Rio Olympics

    JNS.org – Kenyan-born marathoner Lonah Chemtai is expected to compete for Israel at the Olympics Games in Rio De Janeiro, Brazil next month after gaining a last minute approval. “I am very proud [to represent Israel] and I hope to achieve a new personal best time,” Chemtai told Reuters. Chemtai, who grew up a rural village in western Kenya, first came to Israel in 2009 to care of the children of her country’s ambassador to Israel. The 27-year-old runner recently gained […]

    Read more →
  • Arts and Culture Jewish Identity Will Laughs Lead to Love on Show About Orthodox Dating?

    Will Laughs Lead to Love on Show About Orthodox Dating?

    To date or not to date? That is not the question for most Modern Orthodox singles in New York. The question is when will they find their future spouses, and when will their families stop nagging them about having babies? Inspired by the success of the Israeli show “Srugim,” Leah Gottfried, 25, decided she would create and star in her own show, “Soon By You.” “Dating is so serious already,” Gottfried said. “We wanted to take a lighter approach and laugh at the […]

    Read more →
  • Arts and Culture Israeli Actress Says Playing Muslim Character in ‘Tyrant’ Has Made Her More ‘Hopeful, Humble’

    Israeli Actress Says Playing Muslim Character in ‘Tyrant’ Has Made Her More ‘Hopeful, Humble’

    Israeli actress Moran Atias said that playing a Muslim woman in the hit FX series Tyrant has changed her outlook. “Educating myself about a different culture has made me more hopeful and humble, that we’re all the same,” the Jewish actress, 35, said during an interview with AOL Build. Atias plays Leila Al-Fayeed, the strong and politically minded wife of the president of Abbudin, a fictional Middle Eastern country run by a dictatorial family. The Israeli-born former model, who earned the title of Miss Globe International […]

    Read more →