Cabinet dispute over transfer of funds to PA

Ministers Smotrich, Elkin wonder why government transferred tax revenues to the PA.

Arutz Sheva Staff ,

Chairman Smotrich
Chairman Smotrich
Flash 90

During the political-security cabinet meeting yesterday, clashes between ministers and security ministers took place over tax revenue Israel collects on behalf of the Palestinian Authority.

Ministers Bezalel Smotrich and Ze'ev Elkin expressed reservations about the transfer of funds, and against Shin Bet Chief Minister Nadav Argaman and Finance Minister Moshe Kahlon, who managed the contacts with the PA to end the tax money crisis.

At the meeting, IDF Brigadier General Dror Shalom's Research Division head said that the latest move to end the tax crisis with the PA was important to improve the economic situation in the PA as well as the security situation.

Minister Smotrich wondered why the money was transferred to the PA and what Israel received in return. Minister Elkin added that Israel has not yet fully implemented the law and has not offset the tax money it collects for the PA all the sums the PA gives to terrorists and their families.

Israel currently offsets about NIS 40 million a month, which is the amount transferred to living terrorists and their families, but it does not include any additional amounts that the PA pass on to families of dead terrorists.

The defense establishment has also updated the ministers that in the near future, the defense ministry will present how the additional amounts will be offset as required by law.

Last weekend, after intense negotiations, Abbas agreed to receive the funds that Israel raises for the PA, after an offset.