Approved: compensation to businesses for the Corona and the damage to the military operation

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by Ifi Reporter Category:Government Jun 9, 2021

After lengthy delays in recent days, the Finance Committee has approved paying compensation to businesses both for the Corona virus and for the damage to the military operation "The Guardian of the Walls". In this way, the committee actually won a victory over the opponents in the Ministry of Finance to allow "double operations."
Following pressure from members of the Finance Committee and representatives of independent and business organizations, it was decided today, at the request of committee members from all factions, that as part of the compensation for businesses 40 to 80 kilometers from the Gaza Strip, a business will be entitled to double benefits. The corona.

As part of agreements on compensation for indirect damage to businesses in the cities involved, which the committee demanded throughout the discussions, the committee is now discussing regulations for accelerated depreciation for replacement equipment purchased by businesses in exchange for property damaged in riots, causing a business to close for a week or more.
Businesses within a range of 40-0 km from the Gaza Strip border will be eligible to receive one of the "green" compensation routes below:
* Cycle route - the business owner will be able to file a claim for compensation for a decrease in business turnover due to the security situation, in accordance with the dealer's current reporting to VAT (one-month or bi-monthly). In 2019. The total compensation in this track will not exceed NIS 1.5 million.
Wage track - an employer will be able to file a claim for a refund of NIS 430 for wages paid to employees for the days of their absence resulting from the security situation in accordance with the Home Front Command's directive. Compensation will also be given for employees who are absent from work to supervise their young children under the age of 14 and also for a person with a disability who is prevented from coming to the workplace and staying there because he cannot meet Home Front Command guidelines.
Businesses up to the 80 km line from the Gaza Strip border (Netanya and south): Following the Home Front Command's instructions during Operation Guard of the Walls, in which they ordered the closure of the education system without a protected area up to a line of about 80 km (Netanya and south), Under the effects of the corona crisis in the past year, the finance minister has decided that business owners in the 80-40 km range will also be entitled to compensation in accordance with the wage route granted to businesses in the 40-0 km range. It will be clarified that these businesses, in addition to the salary track will be eligible to apply for a grant for participation in fixed expenses in accordance with the grant terms of the grant in May-June.
Red route - Business owners in the area of ​​Sefer localities within 7-0 km of the Gaza Strip border will be able to choose between the said green routes and the red route, under which they will be entitled to claim compensation for the indirect damages they will prove regarding loss of profit and depending on the nature of business.
In addition, a solution was introduced that a daycare center (or educational institution) that was closed as a result of the Home Front Command's directives regarding education during Operation Wall Guard will also be entitled to compensation for the owner of the daycare center.
The committee's decision clarified that a business in the 80-40 km range that receives indirect compensation in the wage track will be entitled to apply only for a fixed expenses grant for May-June 2021.
It was further stated that a condition for filing a claim in each of the tracks is the payment of salary to employees who are absent due to the security situation, under conditions to be determined in regulations and subject to the Home Front Command's directives regarding the closure of educational institutions.
Finance Minister Israel Katz: "This decision sends an important message to employers and workers, who knew that in the next conflict the State of Israel will stand behind them. The self-employed and businesses in Israel are the engine of economic growth, and as such should be encouraged and assisted in times of crisis, just as we did during the Corona crisis. "The economic safety net, and as we still do for those who are still suffering the damage of the crisis. We acted quickly and efficiently with regard to damage to property and buildings during the fighting, and so we will act with regard to indirect damage to residents and their businesses."
The committee's chairman, MK Moshe Gafni (Torah Judaism): "We changed the amounts, we increased the amount in the cycle route from NIS 1 million to NIS 1.5 million, and we also increased the daily wage from NIS 370 to NIS 430. We also solved the problem of dormitories. "And the problem for businesses between 40 and 80 kilometers with double compensation. Now we also want to approve the reduction in favor of businesses in the cities involved."
MK Ophir Katz (Likud): "I welcome the fact that my proposal for compensation for Operation Wall Guard was accepted despite opposition from finance officials - residents living between 40-80 km from the border will also be able to receive reimbursement of expenses for the corona crisis." "To the Minister of Finance and the chairman of the committee, Gafni, for his response. Today we brought significant assistance for the citizens of Israel."
MK Rabbi Gilad Karib (Labor): "Thanks to the committee's efforts and the amendments introduced, the compensation regulations will provide a proper response to most business owners who were injured in the last round of fighting and are beyond 40 km from the Gaza Strip border. The tax authority is not to duplicate solutions given in the past. To the current reality and make the necessary adjustments. "

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