The Israeli security cabinet on Thursday approved the transfer of tax payments to the Palestinian Authority, money that was collected and held by Israeli authorities.
But out of the nearly $188 million of tax payments collected, Israel will deduct the stipends paid by the PA to Palestinian prisoners jailed in Israel and to their families (per legislation adopted by Israel’s Knesset in 2018). It will also deduct the funds the PA transfers to Gaza for former Fatah administrators who lost their positions when Hamas took over in 2006.
This payment mechanism was first established in 1994, as part of the Paris Accords between Israel and the PLO. Israel collects tax revenues for products imported by the PA which arrive at Israeli ports or airports before being transferred to the West Bank. But over the years, what should have been a routine procedure turned into a political issue.
Thursday's announcement by the security cabinet did not specify how much money will be indeed transferred.