Israel has transferred more than NIS 2 billion to the Palestinian AuthorityI

I v, following a settlement with the resolving authority part of the crisis over the offsetting law.
Recall, since February, the authority has been refusing to take from Israel taxpayers it collects, amounting to NIS 8 billion a year. These are customs duties and other taxes collected from Palestinians, mainly merchants and companies that transport goods through Israel. In February, the offsetting law came into force, which stipulates that Israel will offset the salaries and grants that the PA provides to families of terrorists, amounting to almost half a billion shekels a year. In response, the PA refused to receive all of the tax money, which resulted in a deep budget deficit, cutting the salaries of public sector employees in half. The deficit was partly covered by grants and loans from Qatar and other parties, but the greater part remained the same. PA chairman Mahmoud Abbas ordered, among other things, to cut back extra salaries received by government ministers in the amount of $ 2,000 a month, and dismissed most of his advisers, about twenty.
Negotiations took place between Israel and the PA and in recent days Hussein a-Sheikh, in charge of contacts with Israel, announced that it was agreed that excise and other fuel taxes would be returned to the authority while the customs duties, VAT and other taxes levied by Israel remain in the Israeli treasury. According to Palestinian sources, nearly half of the funds accumulated since February amount to more than NIS 2 billion, which will be used, among other things, to pay full salaries, and to return some of the salaries cut in recent months.