The government may bring the 2002 state budget before the Knesset for ratification this week. After reaching a compromise regarding the Negev Law and assistance for new immigrants, the Labor and Yisrael B’Aliyah parties said that they would support the modified budget proposal. Two religious parties, Shas and United Torah Judaism, remain opposed to the budget due to proposed cuts in payments and benefits to large families. Finance officials are slated to meet with the religious parties to discuss their demands.
Seeking to cover the deficit created by the proposed 2002 state budget, Sharon is planning to decrease tax benefits for residents of the Galilee, Yesha (Judea, Samaria & Gaza) and some Negev municipalities. In addition, a 1% income tax will be imposed on persons earning over 30,000 shekels ($6,600) per month.
Seeking to cover the deficit created by the proposed 2002 state budget, Sharon is planning to decrease tax benefits for residents of the Galilee, Yesha (Judea, Samaria & Gaza) and some Negev municipalities. In addition, a 1% income tax will be imposed on persons earning over 30,000 shekels ($6,600) per month.