In ‘Suicidal’ Move, Beleaguered Palestinians Refuse Taxes from Israel

TEL AVIV – The Palestinian leadership on Wednesday said it was refusing to accept taxes collected on its behalf by Israel in protest over the government’s proposed annexation of parts of the West Bank.

The taxes comprise just over half of the Palestinian Authority’s annual budget, amounting to NIS 750 million, from which Israel takes off around NIS 250 million to cover water, electricity and healthcare bills.

In April 2019, the Palestinians also announced they were rejecting the payments over Israel’s decision to cut the money owed due to the PA’s so-called “pay-for-slay” scheme rewarding convicted terrorists and their families.

“We assert that we refused and continue to refuse the delivery of the tax revenues in adherence to the decision of the Palestinian leadership that we are absolved of all understandings and agreements with Israel,”  Palestinian Civil Affairs Commission director Hussein al-Sheikh, who is also a member of the Fatah Central Committee, wrote on Twitter.

we refused and continue to refuse receiving the clearance funds due to the decision of the Palestinian leadership that we no longer have agreements with the government of Israel. https://t.co/wnvMNsxm0B

— حسين الشيخ Hussein Al Sheikh (@HusseinSheikhpl) June 3, 2020

PA government spokesperson Ibrahim Milhim said the PA had refused the monies after Israel conditioned them on resuming security operation, the Palestinian Maan news agency reported.

Palestinian Authority President Mahmoud Abbas announced he was ending security cooperation with Israel over Israel’s annexation plans.

Washington Institute for Near East Policy Adjunct Fellow Neri Zilber said the move to refuse the revenues was “nearly suicidal” given the PA’s economic dire straits.

Palestinian Authority announces it will refuse *all* tax transfers from Israel. May transfer reportedly already refused
-$190m/month (as of 2019)
-$2.4 billion in '18
-60% of PA budget
-From Feb-Sept '19 PA already did this. Major financial crisis. Baseline now worse bc of corona

— Neri Zilber (@NeriZilber) June 4, 2020

According to Palestinian Prisoners Affairs Commission chairman Qadri Abu Bakr, Israel has so far not deducted revenues this year over the “pay-for-slay” scheme.

However, a statement from the Prime Minister’s Office said that “the government will act in accordance with the law. The delay does not stem from a change in approach.”

Speaking to Breitbart News, international human rights lawyer Arsen Ostrovsky denounced the PA’s decision to refuse taxes as cutting off its nose to spite its face.

“Palestinians refusing to receive the funds from Israel, money that could be used to alleviate the COVID-19 pandemic or their ongoing financial crisis, just out of sheer spite and stubbornness to make some obtuse political statement, simply beggars belief and gives new meaning to the term ’never missing an opportunity to miss an opportunity,’” Ostrovsky said, evoking the famous quote by legendary Israeli diplomat Abba Eban.