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.


Current day month ye@r *

More...

  • Arts and Culture US & Canada Lena Dunham Responds to Charges of Antisemitism: It was Just a Jew Joke

    Lena Dunham Responds to Charges of Antisemitism: It was Just a Jew Joke

    “Girls” creator Lena Dunham responded on Tuesday to charges of antisemitism over an article she had penned for the New Yorker, saying it was all in good humor. Speaking to Variety, Dunham reflected on her “tight-knit Jewish family, where Jew jokes were part of the essential fiber of our communication.” The article Dunham referred to was called “Dog or Jewish Boyfriend? A Quiz,” with options such as “He doesn’t Tip” and “He’s Crazy for Cream Cheese.” Among Dunham’s critics, Anti-Defamation [...]

    Read more →
  • Sports US & Canada Former NBA Star Tweets Article About Jewish Conspiracy to Control Global Media

    Former NBA Star Tweets Article About Jewish Conspiracy to Control Global Media

    Retired NBA player Keyon Dooling tweeted a link on Wednesday to a wildly antisemitic article that accuses Jews of seizing control of the world’s media and using it to promote their own interests. The article, published by an obscure blog in April 2013, highlights six companies it claims are owned by Jews — such as Time Warner, Inc. and the Walt Disney Company – that allegedly “control 96 percent of the world’s media.”  The post includes allegations of “Jewish control” and says [...]

    Read more →
  • Sports US & Canada Rosh Hashanah Won’t Keep the Giants’ Geoff Schwartz From Season Opener

    Rosh Hashanah Won’t Keep the Giants’ Geoff Schwartz From Season Opener

    New York Giants offensive guard Geoff Schwartz responded to an outcry from Jewish fans on Tuesday, saying he will go ahead and play in the season opener despite the fact that it falls on the first night of Rosh Hashanah. “Keep getting tweets about that being the first night of Rosh Hashanah… Don’t know what I’m supposed to tell you. It’s a tough break,” the Jewish athlete wrote, referring to the Giants’ on-the-road game against the Dallas Cowboys on Sunday, Sept. [...]

    Read more →
  • Jewish Identity Sports Jewish Coach David Blatt Has NBA’s Cavaliers Surging at Playoff Time

    Jewish Coach David Blatt Has NBA’s Cavaliers Surging at Playoff Time

    JNS.org – When David Blatt was hired as head coach of the National Basketball Association’s Cleveland Cavaliers last June, he was not often recognized when he walked the streets of downtown Cleveland. What a difference a year makes. Now, Blatt can go few places without being recognized. For good reason. The Jewish coach has the Cavaliers in the mix to win the city of Cleveland’s first championship in a major sport since the Browns won the National Football League title in [...]

    Read more →
  • Europe Sports Croatian Soccer Star’s Hebrew Tattoo Causes a Stir Online

    Croatian Soccer Star’s Hebrew Tattoo Causes a Stir Online

    A Hebrew tattoo sported by Croatian soccer star Mario Mandzukic became an internet sensation in Israel after it was exposed on Tuesday during a Champions League match between Ateltico Madrid and Real Madrid A first glance, the tattoo, on the athlete’s back, might leave one with the impression that it was an unfortunate artistic mistake, since the Hebrew letters do not make sense as they are written. However, a closer look at the tattoo shows that it was actually written [...]

    Read more →
  • Blogs Theater Why an Algemeiner Editor Wrote a Play About a Mass Shooter

    Why an Algemeiner Editor Wrote a Play About a Mass Shooter

    For the past two years, I have served as Opinion Editor at The Algemeiner. I’m perhaps most proud of the paper’s commitment to publishing diverse and opposing viewpoints on the controversial issues of the day. We pride ourselves on voicing different opinions because we know that most issues are not black and white, and because our community is better served by a public debate. In my life outside of the paper, I am a professional actor and playwright. And similarly, [...]

    Read more →
  • Book Reviews Commentary In ‘America in Retreat,’ a Real-Life Risk Board

    In ‘America in Retreat,’ a Real-Life Risk Board

    JNS.org – “Risk: The Game of Strategic Conquest,” the classic Parker Brothers board game, requires imperial ambitions. Players imagine empires and are pitted against each other, vying for world domination. Amid this fictional world war, beginners learn fast that no matter the superiority of their army, every advance is a gamble determined by a roll of the dice. After a defeat, a player must retreat. Weighted reinforcement cards provide the only opportunity to reverse a player’s fortunes and resume the [...]

    Read more →
  • Beliefs and concepts Sports Does Working Out With Other Jews Keep You Jewish?

    Does Working Out With Other Jews Keep You Jewish?

    JNS.org – For Daphna Krupp, her daily workout (excluding Shabbat) at the Jewish Community Center (JCC or “J”) of Greater Baltimore has become somewhat of a ritual. She not only attends fitness classes but also engages with the instructors and plugs the J’s social programs on her personal Facebook page. “It’s the gym and the environment,” says Krupp. “It’s a great social network.” Krupp, who lives in Pikesville, Md., is one of an estimated 1 million American Jewish members of more [...]

    Read more →



Sign up now to receive our regular news briefs.