Israel has decided to withhold 600 million shekels ($176 million) in tax revenue collected for the Palestinian Authority to compensate the latter for “aggressors” against the Jewish state.
The Israeli security cabinet voted to cut the same amount from tax revenue as paid by the Palestinian Authority to the families of the killed or wounded attackers, Xinhua news agency quoted state-owned Cannes TV as saying.
Israel sees the stipends as an “indirect endorsement of terrorism” and alleges that they “encourage” Palestinian attacks against Israel.
However, Palestinians maintain that the stipend is a welfare payment for families in need, the report said.
Israel collects a substantial portion of the tax revenue on behalf of the Palestinian Authority and transfers them afterwards on a regular basis.
In July 2018, the Israeli parliament passed a law to cut from the tax revenue the Palestinian Authority pays to the families of prisoners.
The move is expected to escalate tensions between Israel and the Palestinian Authority.
Israel occupied the West Bank and the Gaza Strip in the 1967 war, and has since controlled or blocked both areas, despite international criticism.
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