A Palestinian Arab delegation arrived this week for a meeting with Finance Minister Moshe Kahlon in an attempt to reach understandings that would allow the transfer of tax revenues that Israel collects on behalf of the Palestinian Authority (PA), Kan 11 News reported.
Minister Kahlon and the PA official in charge of civil affairs, Hussein al-Sheikh, took part the meeting.
According to the report, this is the first meeting between the sides since Israel transferred the tax money to the PA unilaterally, and the PA returned the money due to the fact that Israel is offsetting the sums paid by the PA to terrorists. So far there has been no progress in the talks between the sides.
The Israeli Cabinet decided in February to implement the policy of offsetting the PA’s payments to terrorists from the tax money it collects on behalf of the PA.
PA chairman Mahmoud Abbas later reiterated that he would not accept partial payment of tax transfers owed by Israel and also stressed that he would not end the financial support for the families of terrorists imprisoned or killed by Israel.
Last month, Israel transferred the tax money to the PA on its own, on two occasions, but the PA refused to accept it.
Abbas has in the past called the PA's continued payments to terrorists a "red line" that would not be halted under any circumstances.