Israel Cut $141 Million of Palestinian Funds

Tel Aviv, MINA – Israeli newspaper revealed that Israeli government agreed to cut US $141 million Palestinian tax fund for Israeli electricity companies.

Israeli Ministry of Finance agreed to freeze a number of Palestinian tax funds and transfer them directly to Israeli electricity companies to repay debts accumulated by Palestinian Authority, the economic daily reported on Sunday, July 28.

Palestinian Authority faces a severe financial crisis since Tel Aviv’s decision in February to cut the number of Palestinian tax funds, under the pretext of being used by Palestinian Authority for compensation for families of martyrs and prisoners.

Palestinian Authority refused to accept the amount of tax-deductible income from Israel.

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So far, the Palestinian government has retained its position to get full fund transfers without deductions. Quds Press reported.

Two weeks ago, Israeli Supreme Court banned Israeli electricity companies from cutting off electricity from the supplied Palestinian territory, only after getting a series of agreements from the Israeli government.

In connection with this decision, the Israeli Ministry of Finance decided to freeze the amount and transfer it directly to Israeli companies.

Palestinian residents supply 90 percent of their electricity from Israel. Meanwhile, a small number from Egypt to supply areas in the city of Rafah, and from Jordan to supply parts of the city of Jericho. (T/Sj/P2)

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Mi’raj News Agency (MINA)