Residents of Rishon Lezion will receive a property tax refund in the total amount of approximately NIS 12 million

Residents of Rishon Lezion will receive a property tax refund in the total amount of approximately NIS 12 million during the year 2024, by way of offset from the current property tax charges. This is according to a partial judgment given recently by Judge Michal Nadav from the Central District Court.
"Since the parties agreed on the amount of the permit collection (the fund only), and thus in fact unfortunately agreed to partially accept the claim and return the permit collection to the group members, I accept the claim with regard to the fund amount of NIS 12.2 million and give effect to a pass
The court's decision was given as part of a case in which a request was submitted in 2019 for approval of a class action against the Rishon LeZion Municipality on the grounds that it allegedly collected more property tax money. This is due to not attaching the property tax charges paid in the payment arrangement to negative indices. according to the agreements of the parties. I am ordering at this stage that linkage differences will be added to the fund amount."
In fact, the representative applicant claimed through attorney Yael Dayan that attaching the property tax charges paid in a payment arrangement would have led to a reduction in the amount of the charge when the index decreases. It should be noted that at the end of 2020 the Supreme Court ruled in another case that property tax paid in installments will be attached to the consumer price index, even when it decreases The Supreme Court ruled that one should not accept the position according to which the attachment of property tax to the index will only be for the purpose of increasing the debt and not for the purpose of reducing it.
In the current case, Judge Michal Nadav appointed Mark Pischaub as an economic expert on behalf of the court for the purpose of determining the amount of restitution to the beneficiaries. At this stage, the judge determined that the amount settled will include the amount of the principal and the linkage only, and will be over NIS 12 million. It was also determined that the group to which it applies The verdict is for the taxpayers who own properties in the municipal area of Rishon Lezion Municipality, who paid property tax payments in a payment arrangement. The restitution period is from January 2016 to the end of June 2020.
The judge stated in her decision that the municipality will return to the members of the group, at this stage, the amount of the fund together with the linkage differences only, and that the over collection amounts will be settled to the taxpayers as part of the annual property tax assessment vouchers for 2024. Regarding the interest, which is claimed to be due to the members of the group and its rate, a supplementary ruling will be given upon receipt The decision of the Supreme Court in another case dealing with the same issue. It should be noted that about a year ago it was decided by the consent of the parties in another class action on the same issue that Petah Tikva municipality will return property taxes to the residents in the amount of NIS 15.8 million.