Palestine rejects Israeli court decision on tax deductions

By Awad al-Rujoub

RAMALLAH, Palestine (AA) - The Palestinian government on Monday rejected an Israeli judicial decision to allow a deduction from Palestinian taxes in compensation to Israelis affected by attacks.

Speaking at a weekly Cabinet meeting in the West Bank city of Ramallah, Palestinian Prime Minister Mohammad Shtayyeh termed the Israeli decision as “illegal” and “illegitimate.”

“The Israeli court view that accuses the Palestinian Authority of supporting terrorism is unacceptable, illegal, and illegitimate,” he said, considering the court to be “one of the tools of the occupation."

Shtayyeh reiterated his government’s commitment to supporting the families of Palestinians killed by Israel and those languishing in Israeli prisons.

On Sunday, Israel’s High Court of Justice ruled that the Palestinian Authority can be held liable for “terrorist” acts, due to its payment of stipends to Palestinian prisoners in Israeli jails and families of those killed by Israel.

The court allowed the Jerusalem District Court to determine the amount of compensation in favor of four families who lost relatives in Palestinian attacks 20 years ago.

The tax revenues -- known in Palestine and Israel as maqasa -- are collected by the Israeli government on behalf of the Palestinian Authority on Palestinian imports and exports. Israel in return earns a commission of 3% of collected revenues.

The tax revenues collected are estimated at around $30-33 million every month, for which tax revenues represent the main source of income for the Palestinian Authority.

*Writing by Ahmed Asmar in Ankara