Progress in negotiations between the Treasury and employers on a package deal that will prevent large-scale layoffs

Progress in negotiations between the Treasury and employers on a package deal that will prevent large-scale layoffs in the economy, due to the Corona crisis. As part of the outline, which has not yet been approved by the Prime Minister, the Treasury agreed, among other things, to postpone the payment of VAT advances until after the Passover holiday and the establishment of the Lifuzi Fund. For businesses totaling NIS 3 billion.
In discussions at the Treasury, an outline is being drawn up that employers will undertake to avoid redundancy until Passover and instead will allow employees to choose between taking paid vacation days or taking a free vacation that will allow them to receive unemployment benefits from the state. Details of the outline began to leak, although it was agreed between the participants that the outline would be published only after it was presented. In the framework of the outline, a $ 3 billion aid fund will be deferred to water and electricity payments for small businesses, deferral of municipal taxes (until Passover), introduction of government payment dates to suppliers, postponement of VAT payments to tax authorities (until after Passover) and immediate reduction in regulation.
The outline was formulated in discussions between Finance Director Shai Babad, President of the actual business sector, Dovi Amitai, Chairman of the Histadrut Arnon Bar-David, President of the Manufacturers Association Dr. Ron Tomer and employers' representatives.
The director of the tax authority said that "we have taken a number of steps with the business sector to enable business continuity and we will soon get them approved by the finance minister."
At the same time, the tax authority announced that it would allow businesses to postpone the VAT down payment from today to the 26th of the month.